Recently Warren Buffett was asked by CNBC News about what he would invest in if he had unlimited money to do so. His response?? He’d buy 100,000 single family homes! That got my attention! But, honestly, after all the gloom and doom on the housing market, it is time to take a realistic view regarding the soundness of investing in real estate.
For example, I purchased my home in Charlotte in 1993. It is in a great location, 15 minutes to uptown and in the SouthPark area. I paid $154,500. In the height of the real estate boom, it was worth about $325,000. Now? Well, somewhere between $265,000 to $285,000. Still a nice return on my investment, not to mention the mortgage interest tax deduction.
Buffett stated, If held for a long period of time and purchased at low rates, houses are even better than stocks. He advises buyers to take out a 30-year mortgage and refinance if rates go down.”
Well we know rates are down. 3.5% interest rate on a 30 year-fixed is unbelievable! If the activity on my listings in the Ballantyne, Cotswold, Elizabeth and Langstonneighborhoods is any indication, there are a lot of buyers who are getting serious about buying a home. Isn’t it time to invest?
Want to see what homes are available? For a custom homes for sale report, please contact Lynn Johnson at Savvy + Co. Real Estate – I will be happy to email a list of homes for sale that will fit your budget, preferred area of Charlotte and can recommend areas based on your life-style!!
