Growing up in the South where family means everything, and then volunteering to serve my Country in the world’s finest Submarine Navy, I find it hard to believe that the American Dream has disappeared. I grew up wanting my own home, something that I could call mine, and I refuse to believe that my fellow Americans feel differently, yet the media would have us all live in fear. I for one refuse to live in fear and whole heartedly believe that this is quite possibly the best opportunity in the last 25 to 30 years to purchase real estate for long term purposes. I know that it stinks to be a Seller right now, but if you’re a Buyer with even $5000 down you can pick up an income generating rental property and be on your way to building your Real Estate Empire.
Compare the current housing market to stocks. If Microsoft or Apple suddenly fell to $50 per share, would we all refuse to ever buy that stock again or would we all jump up and grab as much of it as possible knowing that the value will come back? Warren Buffett would tell you that the smart choice would be to buy for the long term value. My advice is to stop spending on what you do not absolutely need, eat in not out, and save, save, save. Once you get this down you’ll notice your bank account start to grow and pretty soon you’ll have your first down payment. I have a client right now that is purchasing a $66k condo with $2100 down and the Seller is paying all of her closing costs. The total payment including principal, interest, taxes, and even the HOA is less than $550 per month. I mean really – where can you rent a decent apartment for that low of a monthly payment? She plans to live in it for one year, saving the difference between her former rent payment and new house payment each month, and then use those savings as a down payment on something a little bigger, brighter, and better.
What are your plans for the future? If it includes finally getting thru Xbox Modern Warfare without getting “killed” or finally getting 5000 friends on Facebook, then we needs to talk about your future.