Why You Should Ignore Trends In Real Estate

By: Raynor James
Submitted: 2007-01-17 16:16:14
Print this article | Tell a friend | For publisher | Social Bookmarking
Rating:
 

Many people tend to get caught up in real estate trends reported in magazines, newspapers and on television. This is a mistake of the highest order.

Why You Should Ignore Trends In Real Estate

In this modern information age, you can learn just about anything on a particular subject. While access to information is usually a positive development, things can get a bit crazy if you get overloaded with it. Look long enough and you can find two pieces of information offering exactly the opposite views on a subject. Obviously, that doesn’t really help you make a choice.

In real estate, the information offered in the media is usually uniform. For the last six or seven years, everyone with any brains at all has reported the real estate market has been hot. Now, many of these same pundits are suggesting the market is cooling off. Some are even predicting a crash in the market.

As a potential buyer or seller, how should you evaluate the information being produce in the media? The simple answer is you should ignore it. The problem with these reports is not the accuracy. Instead, the problem is they are reporting national trends in real estate.

National trends are great and all, but they have little or no application to your specific area. Consider the following if you do not believe me. The real estate market for the last few years has been reported as hot, hot, hot. In Colorado, however, the market has been flat throughout this time. If you were considering buying or selling in Colorado, the information being provided for national trends simply did not apply to you.

If you think Colorado is the exception, it is not. The state with one of the worst appreciation rates over the last four or five years, for instance, has been Texas. Put in practical terms, this means homes in Dallas, Houston, Denver, San Antonio and Houston have not followed national trends. The only real estate trends that matter are those in your local markets. Never rely on national data.

If you are considering buying, you have to be very careful when considering real estate trends. If it looks like a seller’s market in your area, you may make the mistake of not buying. Even in a seller’s market, buying a home is better than renting. Every day you are in the home is a day you are growing your personal wealth through equity accumulation. Don’t stay out of the market simply because you feel it isn’t the right time.

It is easy to get caught up in real estate trends since they are plastered in front of your face on a daily basis. In truth, they really should not play much of a role in your decision making process.

Raynor James is with the site - FSBOAmerica.org. Visit us to read more real estate articles.

Article source: Expert Articles

Most Recent Articles in Real Estate category

  • Attention Realtors: Time to Spice up Your Open Houses! - By: Andy Asbury
    Every weekend, buyers head to a slew of open houses, but rarely do they ever make an offer on the properties they see at these events. To enhance the success of the open houses you host, you need to make your properties more memorable in the minds of visitors. To do this, you need to get creative and spice up your open houses.
  • Charitable Realtors: Ideas to Improve Karma and Help Those in Need - By: Andy Asbury
    For many of us in the real estate industry, this past year has been a difficult one, with stagnating housing markets and economic ups and downs. You've likely had to overcome many challenges this year, and are feeling grateful for having either survived or thrived in an otherwise gloomy climate. If you're like me, you're not only thankful for your success, but you're now wondering how you can help those in need in your community.
  • Rent Try Buy - Rent Try Buy Helps First Time Buyers - By: Paul Sharp
    Rent try buy is a scheme that can help people with lower credit score to own their dream home. Also rent try buy helps first home buyer to save for the down payment. This Article provides an overview of rent try buy scheme.
  • Mentor and Coach Are Critical To A Real Estate Investor's Success! - By: Michael Shuster
    Consider the most successful people you know. Whether you are thinking of a famous business executive, your boss, a relative, or anybody who you believe has achieved their own goals or dreams, and if they are successful I GUARANTEE you that they did not get there alone.
  • How to Increase Traffic at Your Next Open House - By: Jerry Clifford
    First, try switching up the hours of your open house. Morning open houses catch people before they head to work or begin running their errands, while late afternoon or early evening events make it easy for busy people to stop by at the end of their day, when other open houses have already closed down.
  • The Definition of Owner Financing-Owner financing in a nutshell - By: Paul Sharp
    Owner financing is a way that can help buyers who are not eligibility to apply loans. This article will give you an overview about owner financing.
  • $1 Million Real Estate Credit Program to Create Millionaire Real Estate Investors - By: Brett Schoneman
    Companies Incorporated has created a unique program that turns everyday people into millionaire real estate investors. Companies Incorporated puts into place the strongest resources to maintain a 100% customer satisfaction rate.
  • How to Win Sales and Influence Clients - By: Ted Guarnero
    Every Realtor wants to have a sure line on how to immediately "connect" with a client. It doesn't exist. What does, however, are strategies whereby you can gain a greater desire on the part of your client to help you and garner positive recommendations. One might think that the client is the leader in this relationship, but this is not so. They are hiring you because of your expertise. You must lead them to what they want or as close as possible to it. Dale Carnegie, in his best-selling book, "How to Win Friends and Influence People", illustrated principles that have been effective leadership tools for years. You can use these principles to positively encourage
  • How Realtors Can Benefit from a Stagnant Housing Market - By: Jerry Clifford
    In addition to getting new certificates, now is also the perfect time to get to know areas of real estate that you're not very familiar with. For example, if you haven't worked much with short sales, or REO properties, this is a great time to bone up on the legalities and requirements involved.
  • Finish Your Cedar Trim To Last! - By: Justin Lee
    Nothing beats the warmth, character and durability of cedar trim on the outside of a home. However, many shy away from using it because it has a reputation of being a high maintenance product. Like anything, it's important to understand the nature of the product you are finishing to get the best results from your paint or stain. Doing so will give you many years of lasting, low-maintenance wood siding.