Have we reached our peak?
If you listed a house in late August, or September, there is a good chance it’s still on the market. Single family homes sales are down 14.6% from last year, condos are down 15.2%. September was a pretty significant turn in the local market. What’s going on? Why did so many people suddenly stop buying houses? There are a lot of possibilities that include rising interest rates, buyer fatigue, media perpetuated fear of a bubble and a volatile election year. One thing we know for sure is that prices can only go up for so long before the market finds a way to correct itself. The key to profitability in a changing market is to pay attention and adapt quickly.
6 skills to develop
What advantages do you see in this new market? One of the best ways to develop a successful mindset is to listen to successful people. Forbes.com offers advice from veteran real estate investors. Here is my summary and comments:
- See opportunity where others do not (what trends in other markets are popping up in your market?)
- Do your own analysis (don’t just rely on the opinions of others, like your agent)
- Learn from successful people (ahem… a mentor perhaps)
- Evaluate the deal by the numbers rather than emotions (appearances can be deceiving, so do the math)
- Minimize or eliminate distractions (life happens, but it doesn’t have to stop you)
- Vet partners to avoid risk (we call it doing your due diligence. Ask around and get references)
QUOTE OF THE WEEK
“If you have knowledge, let others light their candle in it.“
See you soon,