Long Term or Short Term – That is the Question
Have you been watching the Olympics recently? I loved watching the swimming. After watching Michael Phelps exceed all expectations in a variety of events I got to thinking about how our market compares to swimming. Now before you tell me to jump in a lake, let me take a bit of a leap to make a point. During the beginning stages of the distance races almost all of the swimmers were equal. Sometimes an unheralded swimmer would be in the lead for a time. The announces made sure to point out that it really didn’t matter what happened at the beginning of the race, the quality would show at the end of the race. When comparing distance swimmers and real estate markets what you are looking for is the ability to withstand the depletion of a tough time and come out strong in the end. Since the lending rules have changed and the stock market has been soft, real estate has been a tougher business than it normally is. The local market has been hit just like most other parts of the world have been affected. What we should be focusing on during this time is the resilience in the market. If you pay attention to the national scene you have heard stories of double-digit value decreases and huge percentages of short sale and foreclosures. Our market, while not immune has been swimming along fairly steady and looks better and better as the days move on and other markets falter. Thankfully, our market with all of its attributes is built for the long haul not just for short sprints. If you take a long term perspective you can see the value in our market and share with your clients what a great time this is to buy.