In or Out of the Phoenix Real Estate Market? What Should We Do?June 26, 2013
Should I Let My Home Go?June 26, 2013
Dennis Dahlberg is Level 4 Funding’s General Manager and he predicts, “With low inventory and too many buyers, we believe the Phoenix Real Estate Market is on the verge of a new boom in real estate values,” Dahlberg has many years of flipping and fixing real estate experience so he has a very good grasp of the Phoenix Real Estate Market.
If the Phoenix area is heading on up, that leads to some questions like, is it time to buy real estate again? How long will it take to come back to normal, or should people get out of the market and wait? These are difficult questions to answer. But Dennis Dahlberg has some ideas. He offers the following recommendations:
- Home values will not return to the trend line for another 1-2 years. Latest trend shows Phoenix back to the highs starting July 2014.
- The upturn in values is due to lack of inventory and record low interest rates.
- Keep your home if possible. Do whatever it takes to keep the current home.
- Do a Mortgage modification if you need to. HAPR 2 if you can. It’s possible, but there are very few who are successful.
- If you ‘bail out’ and let the bank foreclose, you will not be able to purchase a home for 5-7 years, maybe even never again. Remember that because inflation will come back and this could mean that you will never have the money to buy another house.
- The amount of debt in the USA will continue to grow. The amount is very frightening.
- Get out of debt any way you can; get rid of the credit cards and pay them off. Purchase only if you have the cash. Do not get into any debt. Inflation will turn this into a nightmare.
- Start a side business. It’s too difficult to explain why here, but the best reason is the potential tax advantage and the possible income. Your own side business is the LAST area the government has yet to attack. Make it simple and get going. An extra $400 per month really helps.
- If you are able, purchase quality single family homes in a good area and turn them into rental units.
Remember these tips and you will be all set for the brand new Phoenix Real Estate Market.