On the Front Page of The Wall Street Journal on Wednesday Nov. 30, it stated “Home Prices Hit record levels”. If you read this article, you will think it is over, the window of the “massive profits in real estate” opportunity has slammed shut. If you did not buy any property since the great recession, you have missed the boat. In your old age when you go into the smelly retirement home, that your Social Security or what’s left of it will pay, you will remember this lost opportunity of buying real estate in the 2012-2016. Yes, it is true the national average states that prices have recovered. If you sat on the fence, you have missed that once in a lifetime opportunity. You decided that the market wasn’t right and you would wait. Those who waited have lost the greatest opportunity in this decade or life time to hit it big and coast into retirement. You might as well go to your “JOB= Just over broke” opportunity and sell your health, back, brain and soul to the company. Don’t invest in any more real estate courses… Save your money, you will need it for your retirement.
OR DID YOU! I love numbers because figures don’t lie. The article states that prices have gone up in very tight regional areas to (70%) well above the level of housing prices in 2006. No, you have not missed the real estate opportunity in Georgia! Georgia was conservative in the market and has yet to recover. The national average is propaganda. It is not what is happening in Georgia. Especially in Atlanta. Atlanta’s average is inflating the rest of the state and skewing the numbers for Georgia. The cat is out of the bag. The propaganda is out that real estate prices are back. You will now start seeing in the metro Atlanta area prices continuing to drift up even more 5%-10%. Sellers who want to move to their next house will be wanting to sell because they now can get out from under their house. You will continue to see housing prices being pushed up. This means that massive profits can still be made if you are already in the game.
People ask me if there is another bubble coming. My index is two part. First part is if the cost to build a house is higher than the sale prices of the majority of existing inventory. The second is financing is not willy-nilly. Lenders are asking for skin in the game, financial stability, and desire along with capacity to repay. You can still get great properties in Waycross Georgia. For bargain prices.
The market on an average is a myth. When you look at Zillow it is a myth in Atlanta. In other areas of the state and country, it is the Holy Grail. The fact is California which came out of the recession in 5 months, is driving the averages up by itself. Small pockets of regional real estate are skewing the national average numbers, causing a false sense of price recovery.
Inside the perimeter east of 75 and north of I-20 prices have blown up. In these areas, you will find prices at or above 2006 prices. The area below I-20 you will find great opportunities. When you have a great mentor, they will know the Hot Spots. There are a few outside the perimeter, but there are areas where you can still buy a house at $30/ sq. ft. Most of the housing in Atlanta can still be bought at a price less than what it costs to build.
What is the next step?... Get off the fence. BUY NOW! Get a mentor, partner, or someone who is experienced to hold your hand to get you to buy the first deal. Your retirement success is dependent on the decisions you make today. “You don’t have money”, read the article I wrote in “The Profit” in Feb. 2015. “You don’t know how to estimate repairs”, read the article I wrote in Nov. 2015. “You don’t know a good deal from a bad deal”, read the article I wrote in Oct 2016. I am sure you get the idea. Going to networking meetings and talking to people, establishing relationships and asking for support, can help you get in the game. If you still have fear then get a mentor. You will pay for a mentor in mistakes and heart ache. I know I have done it, and you can too. I have been a mentor for Wealth Intelligence, Robert Kiyosaki and some of his predecessors. You don’t become part of those organizations unless you have the right mental attitude, skills, and drive. I can Mentor you, but I only select a few people to work with every year.
The system of real estate is not difficult. The tools for real estate are easy to acquire. The relationships you need to build are a little more difficult. Keeping your mind sharp, being able to negotiate, understanding the analytics and running your business like a business is key. Get into real estate today! Leave a legacy for your family. Buy the Smelly retirement home and live in the really nice one across the street.