Is real estate still a good investment? Damn, right it is!
Hey, it’s Walter Monteiro here from Remax. I just want to send out a little message for you today.
You know, it’s pretty easy for us to look back, let’s say to February and basically decide that, you know, the market’s gone, you know, to hell in a hand basket.
Well, I mean, there’s no question it was majorly froy in February, and there was no way that we could sustain that type of momentum.
The one thing I do find interesting is all the, all to I told you, so experts, especially on Twitter, everybody, all of a sudden, these guys were all experts.
They were telling us, I told you so this was going to happen. You know what, those very same people, some of those very same people, I heard them say, you know, that this market is going, you know, sustained for years that the Bank of Canada had a commitment to long term low rates and all that stuff.
So I’ve come to the conclusion that the experts know just about nothing, okay? They all seem to have an opinion and you know, who knows?
It’s, it’s just that, and, you know, it is what it is. Here’s what I do know. The last six months, the market values in our community, specifically Cambridge, Ontario, have dropped quite a bit, probably somewhere in the vicinity of around 23%.
But if I take a look at some statistics here, and I go back one year, we’ve actually, we’re actually up about 1.2%. If I go back three years, I see there’s about a 50 increase in value. And if I go back five years, that’s a 78% rise in the market values. I’ve been in the business since 1987.
I mean, during that early, that later part of the eighties, it was nuts. And then everything calmed down for a very, very long time.
But when you got those kinds of lifts, how can you argue with that? You know, you, you, you’ve been so fortunate. If you owned a piece of real estate, you’ve been able to harness, market value, put some more money in your pocket, or at least you know, more equity in your property. And this has given people the ability to do a lot of different things, increase their portfolios and real estate, maybe stocks, buying vacation properties.
You know, we really have to, um, you know, take things and stride and you know, not be so negative.
I know I’ve been running into people and they’ve been so down on the real estate market. The real estate market’s been so good to us for so long that, you know, now it’s taken a breather. There’s no question it sucks, all right?
But that’s just the way it is.
It ebbs and flows. These are the ebbs and flows of the marketplace. And if you’re looking to get into the marketplace, now, might not be a bad time. I don’t know. Is the market value gonna go down more? Maybe it seems to be plateauing a little bit.
There seems to be a little bit of resistance as to where it’s going. So I would say that it, if you don’t own, maybe, uh, do a little calculation, the buy versus rent calculation, maybe it’s worth your while.
If it’s not, don’t worry about it. But real estate is a great investment. Don’t let anybody ever tell you otherwise.