Don’t Quit the Business, you will miss out
Posted by Peter Vekselman Friday, 28 May 2010 04:02 No Comments
I recently spoke with a real estate agent, who wanted my opinion about the future of the real estate business for agents, brokerage and investors.
He had let his license go inactive during the downturn and was worried that the real estate market would never recover.
I’m sure you know by now what my reaction was to my friend.
But let me break it down.
First I reminded him that the economic indicators are looking better and better everyday. Open the Wall Street Journal or Realtor magazine and you will see that interest rates are very low, prices are climbing, sellers are eager to make a deal and more and more buyers are out there looking for property.
There are other factors that make real estate a great industry to invest your time and money.
We have a growing population and land is a fixed commodity. In the end, the supply won’t keep up with the demand and except for periodic dips in the market, that is a recipe for long-term appreciation.
Our government leaders want their citizens to be homeowners, so they put their best effort into shoring up the real estate market, for example, by controlling interest rates. Investors benefit from those efforts also.
When trouble strikes, most people run for cover without crunching their numbers and therefore leave a lot of great deals and money on the table. What a perfect opportunity for those investors who understand that downturns can be a profitable market.
Since the dawn of our nation, we have an emotional connection to being landowners and therefore, we innately strive to purchase real estate and that keeps demand up.
And a word to my friend, a large percentage of Realtors across the country have fled the business because they were too scared of headlines and didn’t see the big picture or recognize the opportunities.
What at great time to activate your license and scoop up the business that others are ignoring.
Real estate is not a mature industry. Not by a long shot. My advice to my friend: activate your license and get busy.