Has this happened to you? You just decided to pursue the endeavor of stepping out of your comfort zone to make a better life for yourself. You have listened to the successful stories of others who have made the jump and realized “I can do this!”. What is this life-changing decision? You made the decision to invest in real estate. You are super excited about all the possibilities that are out there. Because of this joyous feeling you want to tell others about your decision that is going to change your life forever! With the anticipation of knowing your friends and family will be happy to hear the news of your decision, you tell them of the future possibilities. However, their response is something unexpected that you were not ready for. You are told this is a bad time to buy real estate.
Your feelings are crushed. How do they not see what I see? you ask yourself. Could they be right? You know your friends and family only want what is best for you. Maybe you remember hearing the news talking about the economy and you begin to second-guess your decision.
Buying real estate is a significant decision, and timing can indeed play a role in making a successful purchase. While the real estate market can be influenced by various factors such as interest rates, location, and economic conditions, determining the “right” time to buy can be challenging.
When is the right time to buy real estate?
This is the biggest question a lot of new investors ask. Is it possible the people you heard tell you about being successful in real estate started their investment journey when the economy was a perfect time to buy? If investing in real estate makes you successful then why isn’t everyone doing it?
The biggest challenge for new investors is their mindset. In order to be successful, one must change the way they think. Although it could be true the economy is bad for everyone else. It doesn’t mean it has to be bad for you too.
Think about how when everyone else is telling you it’s a bad time to buy, you as an investor should realize that this could be an opportunity to negotiate better deals. There are going to be people in good or bad economies who need to move and sell their homes. This should give you a perspective that allows you to think outside the box.
Watching what people do can benefit you. When the news and everyone else is telling you to stay away, there could be an opportunity to turn that into an investment opportunity, especially when the topic is real estate.
The best time to buy real estate is when your own financial readiness and personal circumstances allow you to. Ultimately, the “right” time to buy real estate is when you are financially prepared and find a property that meets your needs and aligns with your goals. When there is a deal and the numbers are able to allow you to cash flow, then it’s a good time to buy. If you are unsure how to do this, then you need to find the right coach who will be able to teach you. Sometimes teaming up with someone else as a Joint Venture (JV) could be the right option for you.
The answer to the question is it depends. It depends on your financial goals and circumstances and whether your mindset is ready to embark on the journey of investing. It also depends on the deals you are looking at.
