The Best Time to Buy Real Estate
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The Best Time to Buy Real Estate


Five reasons why now is
one of the best times we’ve ever seen to
invest in real estate. Let’s dive in. Hey, there. I’m Clayton Morris. I’m the founder
of Morris Invest. And I’m a longtime
real estate investor. And today, we’re going to
talk about five reasons why 2016, 2017 could be
one of the best times to invest in real
estate investing. There’s a lot of fearmongering
going on out there right now about what’s going
to happen in the stock market crash. I won’t say fearmongering,
it’s actually true. So fear is something
that’s not true, but we’re seeing the concerns
coming in the stock market. But real estate still has a
lot of very positive signs and especially in
the investing sector, and that’s what
we’re talking about. We’re not talking about
the retail sector, where families are buying
properties to live in. We’re talking about
for investing. I want to be very
clear about that. So why is this one of
the best times ever to invest in real estate? Well, let’s start with
this, because prices continue to rise. And by any measure,
you’re seeing markets across the country
seeing a nice little uptick in prices, not a big
decline anywhere, even some of the areas
that were hardest hit during the last recession. So we’re seeing a nice
little appreciation, but we’re not going crazy,
and it’s not overinflated. Number two on the list,
yes, there are bubbles, but the bubbles are not a
major concern for investors. We are not investing in San
Francisco, where there probably is a bubble. We are not investing in
Miami, where there probably is a bubble. We are not investing in New
York City, where there probably is a bubble. We are staying away
from bubble areas. And in other areas, we’re
seeing strong, stable markets in the housing
sector where we like to invest in Midwest markets
and other markets like that. So don’t believe all the
hype about the bubble. Another clear sign
that we’re still sitting in a good
housing market right now is that builders are building. If we were in troubled
times, we would see a lot of supplies, a lot
of lumber, a lot of other steel and materials sitting in big
piles and not being used, but that’s not the case. Builders are building houses. But why this is great for
investors is that they’re not building houses for
renters to live in, they’re building houses
for you and your family to go live in, four and
five bedroom houses. That’s where builders are
putting their attention. What does that mean for us
as real estate investors who are buying rental properties? That means we can go in
and buy the three bedroom, one bath houses that builders
are no longer building. Why? Because millennials aren’t
buying homes anymore, they’re waiting. They’re not buying
that starter home. So they’re waiting
until the four bedroom five bedroom house they’re
ready for their family. They have a kid already, and
they move into a larger home. And they’re sort of
skipping those early homes. That’s great, that means
those three bedroom, one bath houses out there
that still exist, those two bedroom,
one bath houses, I’ll buy them all day long. That means they’re
still building, they’re not building
in the rental sector, and that’s good news for us. Another really important factor
is that foreclosures are way, way down, way, way down. That means simply that
people aren’t getting in over their head
when they’re buying. So yes, more and more people
are picking up these properties, but foreclosures have
plummeted, that means that the loans they
are able to get are not going to get
them into trouble. And I can’t buy
foreclosures anymore. I used to buy them
and rehab them. Very, very difficult to
come across these days. So that is another good sign
that we’ve corrected in a way that we hadn’t before. And the fifth and final
reason why we still sit in a really nice real estate
market right now is that areas like
Miami and Orlando and other areas that were hit
really bad during the crash because they were
way up and inflated, they had really high an
overly inflated prices– you could buy a house
in Orlando for $200,000 and five weeks later
sell it for $260,000. It was ridiculous, right? The reason that that
indicator is still strong is that we’re seeing that
those markets have not returned to that
pre-crash craziness, that they’ve really stay
below that artificial bubble that they were in. So a $200,000 house
is worth $200,000. It didn’t go up
to $240,000 again, staying stable below that
pre-crash number, which really shows that we have a stronger
footing in the housing market than we have in a long time. But as an investor, it’s the
best time to be out there and start buying
rental properties. And if the economy declines
in the stock market, that means there will be
more availability out there for you to pick up
rental properties, more availability out there to
pick up your first properties. So now is the best time
to invest in real estate. All the indicators are
pointing in that direction. I’d love to hear your
thoughts, your comments. Go into the comments
section below right here and leave me a comment. Also, you can please subscribe
to the channel, the big button right there, just go
ahead and subscribe. And we’d love to have
you, because we publish videos multiple times a week
right here on the Morris Invest YouTube channel. I’m Clayton Morris, everyone. We’ll see you back
here next time.

27 Comments

  • Radnally

    good solid analysis. thanks. ive rehabed 6 houses in the last 3 years. and now im selling them. price growth has been solid and im tired of being a landlord. i cant find any cheap REOs and foreclosures to buy anymore. so the market is definitely on the rise in fly over country.

  • James Wood

    I just found a gem I believe. What do you think of this 3 bds • 2 ba • 1,100 sqft home I found on Zillow? http://www.zillow.com/homedetails/5766281_zpid/

    Get the Zillow app free on iTunes – http://bit.ly/1KfMDGk or Google Play – http://bit.ly/1R00yzT

  • M C

    Morris you present information very well. Keep up the good work. What are you thoughts on investing in REITs as opposed to buying a physical rental property. If the REITs go down, you just do dollar cost averaging.

  • Thomas Huges

    Love the videos! My wife and I are both Independent Property Insurance Adjusters and live out of an RV full time so that we can be as mobile as possible for work. So we can buy anywhere when we’re ready and make that our home base. We love FL. We’re currently here working claims for Irma and have been looking at the FL markets for the past 4-5 months. We were already thinking about buying a couple cash for cash $40-60k properties in Tampa area and came across your videos the other day and we think your channel is awesome!

    I was just wondering what your thoughts were on a RE market crash and rentals. Obviously the value of the home itself will go down and rental price may decrease but do the houses normally keep the same occupancy % ? Seems like buying would slow down and home values would drop, but people would go from buying to renting during that time which would actually maintain or increase occupancy during a crash. Then appreciation will rebound with time and increase if its the correct area

  • burak kaynak

    Hi Morris, is it a good strategy to buy an investment property in DC metropolitan area (including Northern Virginia) right now? Thanks for your thoughts!

  • Shannon Conrad

    The best time to buy is when you make your profit Goals! Time is money….wait and lose. Do the math buy when the deal is right. Make good deals and better deals.

  • Joel Garay

    Hey Mr. Morris,
    Do you offer any coaching? I would truly appreciate being guided to do the same thing and I do have some real estate experience.

  • J K

    house market is not bubble and it's not gonna crash like in 2008. In 2008, banks loan money to anybody at anytime.
    House market price may go slowly up but it won't crash 30-40% in my opinion.

  • Gary E Mullen

    Has anyone got any views on buying up property in Venezuela, I know the country is upside down right now but it’s something that interests me and would be willing to take a risk.

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