Historically, Real Estate Has Been a Solid, Long Term Investment. Looking at the last 40 years of real estate in California, we have seen very few times in which real estate values have dropped. In fact, according to the California Association of Realtors, since 1970 the real estate market in California has only dropped seven times, six times under 3.7% and only once at 4.5%. On the contrary, our market has seen remarkable growth. In 1970, the median cost of a singlefamily home in California was $26,000. Today, 37 years later, homes have seen a 2,165% increase, now selling for $588,970.

Historically, Santa Clara County Has Enjoyed Even Stronger Success. According to the California Association of Realtors, in 1989 the median price of a single-family home in Santa Clara County was $246,847. Today, just 18 years later, that same single family home is selling for $860,000 - a 248% increase. Certainly in recent months we have seen a shift from a seller’s market to a buyer’s market but that switch was necessary to continue a healthy flow of exchange amongst buyers and sellers. The bottom line is that our economy couldn’t maintain the double digit increases we saw in home prices in 2003 and 2004 without seeing a shift. If we continued to see an upstream of that magnitude we would nearly eliminate the first-time home buyers which could potentially drastically hinder our economy. Shifts in our market are what keep our economy running smoothly.Housing Crisis or Opportunity? Only history will show.

Is Now the Time to Buy? Now may be the time to buy: mortgage rates remain low (certainly by historical standards), prices have stabilized and there is a large selection of homes to choose from. Certainly it makes a more exciting news story for journalists to dwell on the negative, but for smart consumers it is definitely more economically advantageous to seize opportunities as they present themselves. And this market may offer some tremendous opportunities. While no one can predict the future, if history is any indication, then real estate over the long run will continue to be a solid investment. And that’s good news for everyone - buyers, sellers and the real estate industry. If you are ready to make an informed and educated decision about real estate, please contact me today. I would be happy to help you.

http://www.realtoramir.com/

For instant MLS search click here. 

For an automated MLS search click here. 

The information being provided is for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.

Popularity: 34% [?]

This entry was posted on Tuesday, October 23rd, 2007 at 10:53 pm and is filed under California, cupertino real estate, cupertino homes, cupertino realtor. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.