Real Estate & Investment Perspective by Karen Lee Bertiger

2024/08/032024/08/03

You Need to Know This

If someone told you to buy real estate in recent years & that you could refinance when rates came down, they did you a disservice. There is no guarantee anyone can give you on interest rates. What IS known, is the past trajectory of residential real estate prices. Since the Great Recession bottom (2012) the long term trajectory has been UP.

LONG TERM, you are well served to get on the asset ownership ladder. For most people, their equity in their home becomes a valuable asset to help with their retirement. If you think you don’t have the ability to find an affordable property to call home, you may be cheating yourself.

Don’t believe me? Ask me for the charts from reputable sources, which prove the point. In addition, I can offer you up to date info on a daily or weekly basis to help you make your best decisions. I’m going to post it so you can see…

2024/08/03

WOW! Interest Rates Take a Deep Dive!

Let’s keep an eye on the economy – we have a bifurcated situation where those who have assets appear to be doing much better than those who do not. If you’re in debt, there are ways to reduce it to improve your cash flow, using a HELOC or Line of Credit. Contact me for information & links to educational content you may not be aware of. No obligation. It’s a pro bono service for anyone…

2023/08/222024/08/03

Real Estate Brokerage in 2023

It’s no secret that the industry seems like it’s imploding. The Federal Reserve’s interest rate increases are creating havoc. Including “owners’ equivalent rent” in a lagging CPI Index is non-sensical. No one pays themselves rent when they’re already typically paying a mortgage payment. My guess is they will keep raising rates until the entire economy is paused because most won’t be able to afford the essentials, also known as food, shelter & clothing (add gasoline & utilities, too!)

2022/04/242024/08/04

Interest Rates, Inventory & Random Thoughts

2022

The Federal Reserve is behind the curve and off the rails. I don’t believe they can control inflation at this point. It’s not in their charter. They have no control over fiscal policy and federal spending.

That said, if interest rates are rising and you think you should wait to buy property, you may be a victim of faulty reasoning. Inflation is running hotter than 5%. Your arbitrage opportunity is that difference between current interest rates and future inflation. You are at a sweet spot right now, where you can get in and reap the benefits as inflation trends higher, which it will. Your ability to get a fixed rate loan will lock in advantages for you. I can strategize with you on methods for reducing your transaction costs.

If you’re selling, always look at your net proceeds from selling when comparing brokerages, offers, etc. Don’t leave your money on the table.

Owning property now is more about the type of lifestyle you want to live and where. Being aware of the net present value (NPV) of a financial move is imperative to keeping your wealth growing and intact.

More wealth will be created in the next couple of years before we get to a more dangerous phase in the real estate market. There may be more multi-family and single family built to rent neighborhoods in progress right now, but your best move in most cities and towns is to own or move up. If you’re not an owner you will need to make more risky and speculative moves placing your funds in a stock market that will be more volatile going forward.

2021/09/04

Labor Day Weekend

This weekend we're doing some site maintenance and updating of certain items behind the scenes, consolidating numerous websites and retiring some of our old sites. The information on the old site is still pertinent, but using dated designs. We were downright EMBARRASSED! Things can be so much easier when you haven't been in business for decades....

If you've entered a different web address that brought you here, that's part of our consolidation. Thanks for your visit.