…and real estate will lead us out of it. Today’s news that the Federal Reserve will buy as much as $600 billion of debt sent interest rates on the average 30 year fixed mortgage down from about 6.25% to 5.5%.
With interest rates low and prices down 40% in some areas, real estate transaction volumes could pick up as real estate could once again become a very attractive investment.
Now if only, credit would losen up a bit…
Thoughts?
I spoke to a prospect recently who has been investing in the stock market. He is now ready to look at real estate. Real estate is looking very attractive, and the upswing will happen. Let’s be sure we are ready for it!
Happy Thanksgiving.
November 26th, 2008 at 10:48 am
Heather I agree – Real estate, unlike the stock market, generally doesn’t go down 15% in a day or 30%
Real estate appears to be the safer bet now.
And with prices down there is probably some upside too!
November 26th, 2008 at 11:06 am
It would be nice if credit loosened up but for many investors, looking for shelter from the volatility of the stock market, that isn’t as big of a concern. Foreign investment may continue to increase as the dollar is still relatively weak. I spoke to a Florida agent friend of mine recently who sold 3 properties sight unseen to a German investor.
December 7th, 2008 at 3:10 pm
I think that the real estate market will improve the stock market. It is going to take time but once the real estate market balances out and starts to improve, so will our country.
June 9th, 2009 at 10:35 am