To Buy or Not to Buy ... That is the Question

We are in the business of helping people find the perfect home, in the perfect neighborhood, in the perfect city, near the perfect job ... and of course with the perfect significant other, and if appropriate, with the perfect children and the perfect pets.  Our BestHomePro search software is really good at matching people with homes.  And our BestHomePro MarketPlace is a unique business process for matching consumers, who are ready to buy or sell a home, with really great REALTORS, who are smart, savvy and eager to help.  The problem has been the real estate market:  it has just been severely challenging over the last couple of years.

But the truth is, hundreds of thousands of homes are being sold each month in The United States.  More than 1,500 homes are selling per month in The Triangle of North Carolina, and similar numbers are being bought and sold in each and every market in Georgia, Florida, North Carolina and every other state.

Economists are saying things won't get back to the 2007 levels until 2014.  Wow!  They are saying that inventory (the number of homes people want to sell) will remain high, because there are not enough buyers.  They also say that there is downward pressure on home values because people are afraid.  They are afraid of losing their jobs.  They are afraid of a "double dip recession."  People are afraid that homes will not be a great investment, like they were for 50 years. 

People are afraid of Al Qaeda, China, Greece, war, elections and a myriad of other things. We have been trained by the media and politicians to be afraid of the unknown and this makes us unwilling to take on much risk.

Well, here is my call to action:  STOP BEING AFRAID.  It is certainly smart to be thoughtful and cautious, but stop being afraid.  The strategy of "flipping homes" was a great idea in a really hot market, but now it may be dumb.  But I contend that buying a home to live in, to raise a family or to create a stable nest will always make sense.  AND, it will always be a good investment.

My bet is that if you live in most homes for 5 or more years, you will make money.  You will make money through enforced savings (paying the mortgage each month) and you will make money because the value will increase.  Buy a home to please your every day life.  Live in it well and joyfully.  Paint it.  Primp it.  Plant flowers.  Update a bathroom or kitchen.  Love it.

I do not believe that the American dream of owning a home is a thing of the past.  It remains a dream for most people and the economics of owning a home will remain strong, particularly if you buy a home now, when values are down and mortgage rates are as low as they likely ever will be.

Assess the stability of your income.  Evaluate where you are in your life, but do not be afraid of owning property in a free and vibrant country.  This may, in fact, be the best time to buy your first home, or upgrade your situation by selling your smaller home and buying one just a little larger, or fancier, or just more to your pleasure.

If we American's give up our dreams because of fear, then Al Qaeda wins.  In every market, there are risks.  For example, 3 years ago many people paid too much for their homes and the market crashed.  Now, the risks are different, but the opportunities are high.

I say, "go for it."  Be rational, but pursue your dreams and make them happen.  Amen!