Lately, news reports have been full of the hardships and market challenges that many home sellers are facing. It’s been a brutal and cautionary tale for many of us.
Stories of lenders using less-than-honest qualifying data, the abuse of the stated income loan — also called the “liar loan” — the greedy outlook of home flippers financing at any and all costs, and the armies of real estate agents and brokers that came out of the woodwork, made a quick buck and are nowhere to be found today are common knowledge.
However, at the same time, we need to be sure to see the golden opportunity that is sitting there for all of us.
The true professionals will survive in this market. The lenders and real estate agents that you see working before you during this coming year will be those professionals that are the most knowledgeable about lending programs and real estate transactions.
They are counselors first and salespeople second. You will be reintroduced to those individuals that may have been “lost in the shuffle” of the chaotic milieu over these last few years! It’s great news when quality effort is rewarded and shoddy workmanship is thinned out.
Let’s not forget the golden opportunity that’s laid before the home-buying public. I’m contacting many of my clients that have children nearing college age.
This will be a wonderful market to purchase a home to rent near the school the children plan to attend, or to help their children purchase that first home and begin the journey of financial independence.
The client that has an aging parent may find wonderful opportunities to purchase a home or condominium that will provide a nearby residence if it’s needed.
The client that is savvy knows that many of these home sellers today will need to rent for the next several years, as their credit situation is repaired. Certainly there is a golden opportunity in purchasing a home for rental income.
The homeowner that is buying for shelter — remember that concept — will find that while their own home has lost value, the price of the move-up home for their family is the steal of the decade!
And lastly, the client that is nearing retirement age may want to purchase their retirement home now, and rent it out for the next few years. Then, when the market value has corrected a bit, that client is in a position to capitalize on the improved value on their larger home and can sell at that time.
So, as interest rates are low and prices are down, don’t let this golden opportunity pass you by.
Cathy Asbury of Lyon Real Estate is an Outstanding Life Member of the Placer County Master’s Club and a Life Member of the Sacramento Master’s Club. She has been a top producer in foothill and valley communities for nearly 25 Years. She can be reached at (530) 887-3438.