Thursday, July 8, 2010

It is time to start investing in Real Estate! (again). There is a perfect confluence of factors occuring which make right now the perfect time to re-think of Real Estate as a great long term investment. Consider these factors:
  • The real estate pricing bubble of the last decade has officially burst and real estate prices have returned to their 40 year trend line. See the graph below.

  • Foreclosures are near record highs meaning there will be record numbers of people looking for rental properties.

  • Through the HAFA program the government is giving incentives to lenders to let borrowers out of their mortgages for less than they owe. This means banks are more willing than ever to accept substantial losses on their properties.

  • The cost of money is at historic multi-decade lows. For investors with good credit, banks are anxious to loan money and the long term cost of money is approaching the cost of inflation, meaning money is almost free. It's just a matter of finding a safe place to put it to work.

  • On the local front, Springfield Missouri is a thriving and growing city with several strong companies expanding operations here. Jack Henry and Associates, O'Reilly Automotive, and Bass Pro Shops are just a few of the growing and thriving business that are driving population and business growth in this area.

While there are risks, the risks have been drammatically lowered over the past few years and the other factors noted above make it almost a no-brainer NOW IS THE TIME TO BUY INVESTMENT PROPERTY!

Contact a Springfield Missouri Real Estate Agent today!

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