In It for the Long Term
As USA Today reported this week, Crawford, Texas saw a 57 percent drop in existing home sales in July 2006 when compared to the same period in 2005. Before you alert the White House about market conditions around the president’s ranch, however, you might first note that the median home price in Crawford rose 18.5 percent between July 2005 and July 2006, and across the state of Texas, the median home price has risen 6.1 percent during the same time period.
The article also mentions that seven years ago, President Bush paid $1,000 to $1,500 an acre for his land. Today, according to local sources, larger tracts sell for $2,500 to $3,500 an acre.
That underscores the value of housing as a long-term investment. Despite some high-profile media reports, most of the country has never experienced even a temporary downturn in home prices since modern recordkeeping began, even during recessions and periods of sales decline.
Housing is not a quick-in, quick-out investment. When purchased for the long term, housing is one of the safest investments a consumer can make. A home provides physical, financial, and emotional shelter – no other investment can do that.
Comments
"Despite some high-profile media reports, most of the country has never experienced even a temporary downturn in home prices since modern recordkeeping began, even during recessions and periods of sales decline."
Very clever. I believe the key phrase here is "most of the country" Care to clarify with data and a source to back it up?
While we're at it, maybe we can see the data to support NAR's claims of "16% more to those that list with a real estate professional".
Posted by: Gary | September 5, 2006 03:31 AM