Should I buy real estate in 2017? I often get the question should I buy real estate in 2017? Real estate values go through cycles. And we’re at the top of the cycle right now. There will be a contraction in the near future. In fact Rich dad poor dad author Robert Kiyosaki was recently quoted in a podcast saying that the contraction is already started.
Additionally…..The acclaimed economist and best-selling author Harry Dent just came out with a book titled the sale of a lifetime how the great bubble burst of 2017 through 2019 can make you rich. And he also states that the contraction has already started. So you think to
yourself is it really a good time to buy real estate in 2017? Let’s answer that question…….I’m going to break it down between buying a home to live in versus buying investment real estate. So, Let’s start with buying a home to live in. Well the first thing I would say to you if you’re looking to buy yourself your first home is that if you’re ever going to be interested in actually investing in real estate that you should
consider buy a duplex triplex or fourplex. That way when you move up you’ve already got your first rental property and if you purchase it right you could live very inexpensively or even for free in many cases…… with the renters in your other units paying your mortgage payment. That said, purchasing a home to live in is a subjective and emotional purchase. Because there is emotion involved and you need a place to live those factors come into play. The interest rates are still incredibly low historically so I would tell you to weigh the fact that you’ll likely be paying top dollar for the home……against the fact that you’ve got great low interest rates. Many people say it’s likely that interest rates will continue to go up and not reach these low levels again. I’m not sure I believe that but who knows……..That said, if you are asking my personal opinion, I would not buy a single-family home to live in right now because the prices will likely go down in value enough to justify a slightly higher interest rate if the rates go up. . Now I take a different position as it relates to multi family