Does the idea of investing in real estate make you shudder?
Do not shudder anymore! Look for an easy to rent-to-own program!
The economy is coming back, but at a really slow pace; So is it really coming back? The construction industry is slowly recovering and new houses are being built in various parts of the country, but at a slow pace. Home sales have risen due to falling prices that have pushed up the demand chart. In such a market scenario, the rate of foreclosures that was going up is now going down. In the next year, the real estate market is expected to remain uncertain.
States that manage their budgets better and have lower taxes enjoy a much better economy. Look at Texas and Florida where the unemployment rate is low and the quest to create jobs for the people really does exist. On the other hand, states like New York, Illinois and California are on the verge of bankruptcy. The cost of real estate is high due to the lack of new houses to live in and so are unemployment rates. But economic conditions are improving slightly across the United States, but not enough for the number of people entering the workforce from college, foreigners, and layoffs.
Following the data
Most real estate investors are playing wait and watch, while others can buy properties in bulk, which are mostly HUD foreclosed. For small investors looking to buy a single family home, the real estate markets seem uncertain at the moment. More single families are choosing to rent to own, as it is a more sensible option, as the numbers show for many people. Many people are positive about a change in the housing market, but some who are more realistic stay on the cautious side for three main reasons. First, the tax cuts introduced by the Bush administration will expire in 2013, most likely, which means that taxes will be higher for everyone and everyone will pay higher taxes due to the new health care mandate that is about to be imposed on them. Americans. the citizens.
A logical conclusion
The second reason has to do with GDP growth, which the Obama administration predicted is not high enough for a decent recovery. In fact, the economy is sluggish, and part of this is due to spending cuts that really need to be cut a lot more. The last reason relates to the US public and foreign debt, which continues to rise with no signs of resolution in 2013. All of this just means that you need to be careful when investing in a property. In 2013, to be safe, you need to lean heavily toward a rent-to-own program.
A situation to avoid
James McElroy, a real estate credit consultant predicts that 2013 will be a good year for the rental-to-own real estate market. He says: “Real estate costs will go up 1% in the first quarter of 2013 and almost 3.15% in the second quarter. This turns the market into a seller’s market.” When potential buyers get tired of waiting and watching the market situation, your best bet is to rent a property with an option to buy, as they can easily abandon it when they see a house that suits them. In this market, this may require some patience. They are not stuck in a house that they really did not want and possibly an area that does not suit them.
Smart move
A lease-to-own involves a lease that gives you the option to purchase the property within a specified period at a mutually agreed price. The market for these leasing programs is growing rapidly, as it always has in any post-crisis market. Although with the emergence of higher taxes, America may not be out of the woods yet, and even if the worst is over, America might be out of the woods. growing at a much higher rate, but due to self-imposed taxes and regulations, America is not impressing the world the way it used to and should, according to many real estate and finance experts.
A real estate savior or homeowner?
Most home buyers cannot meet the strict loan prerequisites of banks and other financial institutions. Sellers also can’t sell their homes for what they think they should be worth. They have the option to sell their homes through a rent-to-own program.