Should You Be Worried About a Market Correction?

Investing in real estate is a smart move, especially here in California. Here’s why.

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The question of “Are we headed toward a market correction?” is one of the most common inquiries I’ve been getting lately. So today I am going to talk about the three things you should be focusing on if we are indeed headed toward a correction.

First, make your investments with a five to seven year outlook. With a long-term plan, you’ll be just fine.

Secondly, California real estate has historically appreciated for over 7% if you hold the asset for at least five years.

Real estate is a recipe for building wealth.

Finally, the power of compounding. Real estate is one of the only asset classes that you can invest in with as little as 10% down. You can buy a million dollar asset for $100,000 in cash value and when you combine that with the fact that homes appreciate so rapidly around here, you have a recipe for building wealth.

If you have any questions for me or you’re looking to get into real estate investing yourself, give me a call or send me an email. I’d be happy to hear from you.

What Has Been Happening in Bay Area Real Estate?

A lot of people have been asking me lately about the Bay Area real estate market and whether we are in a market that’s better suited for buyers or sellers. The truth is, it depends on what price range you’re looking at.

“

The luxury market is great for 
buyers right now.

”

In the luxury market, anything over $1.4 million is in more of a buyer’s market. We are seeing less and less multiple offer situations, and people are no longer bidding 10% to 15% over list price like they used to. If you’ve been thinking of buying in this segment of the market, it’s a great time to get a deal.

For homes under $1 million, with how low interest rates are and how strong the rental market is, it doesn’t make sense for anyone to pay their landlord’s mortgage. It makes more sense to buy a home by taking advantage of low interest rates and investing in your own equity.

If you have any questions for me, don’t hesitate to give me a call or send me an email. I look forward to hearing from you.