[quote=flyer]Agree CAR and SK, that with the ever-changing dynamics, people, especially those who have purchased in recent years, should be extremely wary of considering real estate a “sure thing,” when it comes to their long-term financial solvency.
As a lifetime real estate investor, it’s clear to me that, some elements point to a continuing escalation, many do not, and only time will tell.
In the meantime, I think it’s very important to have diverse financial resources accumulated for retirement (and lots of them–if you want to survive) other than property. At least, that’s been my plan.[/quote]
flyer, I understand that one can’t “eat” real property and that a retiree needs to be well diversified in order to survive the vagaries of the broader economy. However, housing is a “necessity.” Unless one wants to live with friends or relatives, they have to buy or rent housing if they (or their relatives) do not currently own a residence available for their occupancy.
I’m not “bullish” on housing as a “sure-fire investment,” per se. I just think people who “need” housing and can qualify to buy it should do so ASAP while the mortgage interest rates are extraordinarily low. I’m not referring to “luxury housing” here as it is not a “necessity.”
My point was that a few prospective homebuyers here who still don’t own their own residence today are still (halfheartedly) in the market because they have been shunning perfectly acceptable housing for years waiting for the “perfect house” in the “perfect location” and “perfect buying conditions” and these factors rarely, if ever, exist in tandem. It has now been about 3.5 years since the local housing “bottom” and those days are permanently gone for good.
If these posters are happy with renting, then so be it as they may have to rent much longer than they ever thought possible due to not being able to make a local housing buying decision and successfully consummate a deal.
You must admit it is not going to get any easier going forward for a young family to buy a home in coastal CA counties.
