Jim,
re: You are way out of touch. There has been a big jump nationwide across the country. Sure some exceptions but it's become more the rule.
Well, I'm slightly out of touch. Nationally, as of the first quarter, annual home price appreciation was 6.05%. Of the states, Florida was 8th, with 8.29%. The folks that live in Texas probably think you are nuts, they were close to last at 2.95%.
An interesting report, with 5 year appreciation, and since 1980:
ofheo.gov
You have to admit that the transactional and holding costs for real estate are a significant detriment to a house trader, someone who "flips" every year. In Florida, water front land has appreciated at a phenomenal rate (why I didn't buy on the water when I arrived 10 years ago, I don't know). You could have probably "fliped" those houses every year, and done very well. But a buy and hold strategy would have been better, cutting the transaction costs. Maybe if you took your profit on each yearly transaction and put it into a more expensive house, that might have yielded a better return, but I doubt it.
Actually, I've been looking to multi-family housing as an investment. Nothing big, three or four apartments.
So what do you do in the real estate industry?
John |
