New Orleans, The National Realtor Convention 2010!

Last week I spent six days in New Orleans, completely in awh of the speakers, and positive Realtors that attended the National Realtor Convention.  As I listened to the economists, predictors, and realists, I questioned "is this really happening again".  I was a child during the Carter administration.  I don't remember inflation and high interest rates of 18% that followed into the 80's.  But I do see the ones that survived had invested in real estate and saved their money, and prepared for the come back of the stock market.
It came to me how to explains this to First Time Home Buyers. That is, it is all going to get better.  Interest rates are going to go up because that is how banks make money, so they can loan money.  Businesses and people can then spend money.  This will make the stock market go up and the banks make more money.  If a buyer is able to buy a home for $150,000 at the current interest rate, and the interest rate goes up 1/2%.  Then the buyers ability to buy goes down by $25,000.  The current average sold price for Grandview is $142,000.  This is a 3 bedroom, 2 bath, 2 car garage.  Even if you are not going to be living in the area in three years, the investment will always pay for itself.    The predictions are that house prices are going to go up by 4.5% in the next 5 years.  To me this is sound and awsome for our area.  Our state is considered the healthiest in the union, even with unemployment at 9%.  And this is going to cause people to move here. This has allready created the rental market to be in demand and it will drive our housing prices up.  Act now for your future and family and buy all the homes you can.  Holly Castle 509.830.4137