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Bubble of Opportunity?
Thursday, March 9, 2006
We have all heard plenty of talk recently about a “Real Estate Bubble”.
But have you heard about the “Bubble of Opportunity” that currently exists at the Jersey Shore? There are some very interesting buying opportunities in Avalon, Stone Harbor, and Sea Isle that you may be happily surprised to know about. Interest rates are also still very attractive. The principle of supply and demand applies to any market; when the supply of homes for sale is low, and the demand is high- the Buyer is in a tougher position. This has been the case for the past 5 years or so. When the supply of homes for sale increases, as it has over the past several months - the buyer is now in a stronger position, has more flexibility, and many more options. You hear plenty of coverage about the "bubble", but in my opinion, you don't hear anything at all about the positive aspects of current market conditions. Mortgage Interest Rates are great still. The inventory of vacation homes for sale is higher than it has been for the past several years. Many folks felt intimidated by the fury of the market of recent years. There were occasions where a home would go up for sale, and sell within an hour, with 5 or 6 bids, many times well over the asking price. I have been involved in such situations more than once. Many young families have wanted to buy, many older couples wanted to think about buying - and many people were out priced, or outpaced. At this present time, we have seen some logical moderation in prices, and there are many more prime properties to choose from. There are some really great opportunities for the astute and savvy Buyer who wants to discover something they might not have heard alot of talk about on the news recently - why it is a really good time to buy.
Sellers also have opportunity in this market. I feel intelligent marketing, and strategy is integral to a successful sale in today's market. Great profits can still be realized. Internal Revenue Service Section 1031 Tax-Free Exchanges are also an option for some Sellers of investment properties. Sellers can still do well, and also make a nice buy if they wish to improve location or size.
So why wouldn't now be a great time, an even better time? There are some homes for sale in PREMIUM locations - more so than in recent years. It is my opinion that this opportunity will be good for the market - it will feed it, gives it new energy and growth. If you have wanted to buy a seashore vacation home within the past 5 years, but were discouraged by the highly paced and overly competitive market – give MM Real Estate a call today to talk about why NOW may be a great time to look. TOLL FREE 1 888 MM IN AVA.
authored by Mark Marroletti http://mark@mmavalon.com
All writings are the sole opinion of the author, and are intended as information only. The author is not an accountant, attorney, title agent, government official, or other professional. He is a REALTOR, a Broker, and an Owner of a Real Estate Agency. No writings are in any way intended as a solicitation to any consumers who currently have their homes listed with other real estate agencies or buyers who are currently involved in transactions with other agencies or brokers.
