Hi guys! I have been selling real estate in the Twin Cities for the last 21 years and this market is not what the media wants to have you believe it is. What we have is a market in transition. Since 2005 real estate went wild. We saw double digit appreciation. It was unreal. We knew our salaries were not growing fast enough to keep housing affordable. The stock market took a tumble so investors left the stock market and went into real estate. They bought houses and in a short period of time flipped them. When that fast appreciation slowed down investors were left holding real estate that was no longer making money for them. Lenders got greedy and starting giving mortgages to people who in the past would not qualify. The storm brew and hit and the problems began. Foreclosures became the headline story. In reality they account for less that 1.5% of real estate in our area. Credit is tight but interest rates are at a 40 year low. Buyers are able to buy now and watch the appreciation start working for them Fear needs to be removed from the real estate story and we need to look at the market as a market very typical to that we saw in the early 2000's.
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