This may surprise you, but the Real Estate market never really changes. This last spike has proven it to me. There was a lull in the market place last August and September before roaring back. There are pockets of over built areas in the country the same as there always have been.
I can remember vividly that Arizona has boomed and busted six times since the 1970s. Las Vegas has been booming for all of those thirty years with cheap housing. The problem in Las Vegas is the California influence. The tax base in Nevada is lower than California and a short trip away. We’ll addess that in another post.
Seattle has always been an under valued corner of the country that escapes notice for having so much wealth. Limosines were almost unheard of twenty years ago here in the city. Large events with fancy party dresses are usually very low key and in private settings. Seattle is very conservative in it’s night life, restaraunts, and clubs.
A lot has been said about the lack of high paying jobs in this blue collar city. There were in my lifetime working manufacturing plants near down town. I’ve worked several jobs that paid a mortgage, in the past. Now those jobs can maybe get you a decent apartment. That seems to be the biggest stumbling block that keeps Seattle housing prices in check.
The question is, as always, what to buy rather than when to buy. I had a long talk with an investor this week about a property of his on the market for the past several months. It started getting price reductions at the end of the summer only to be lost in the increase of inventory. It’s well built has two floor of south west exposure, facing an in ground swimming pool. The best part is the location is a bicycle ride to the University of Washington. Downtown Seattle is a ten minuted drive or twenty minutes in really bad traffic.
There are several pockets in Seattle that are bargains today. Ballard is over done, but there are some great houses there that go unnoticed, especially between 3rd Avenue NW and 15th Ave NW. Fremont has all of those new office buildings and between Fremont to the University many houses sell cheap. The thinking is that the land value out strips the value of the house.
A part of the reason for this blog was to help people rehab properties and invest in Real Estate. The days of the new found flippers are coming to a close. Rents are going up as people opt out of buying. Foreclosures are a very good investment in many of our local neighborhoods. Prices are coming down while panic grips the market place.
The bottom line is that now is a very good time to buy a bargain and live with it. There is no need today to look for a fixer. Today you can pick your deal concerning price and condition. Sellers are grateful for an offer today, even from an investor.
