Store and factory closings, layoffs, and reduced confidence; but allow us to provide some perspective that might surprise you. The news quotes this as being “the worst economic crises since the Great Depression.” HHHMMM, really?

There are numbers from when President Reagan took office vs. today when President Obama took office:
Unemployment: then 7.5% vs. now: 7.2%
Inflation: then 12% vs. now 3%
PRIME: then 20.5% vs. now 3.25%
People living below the poverty line: then 14% vs. now 12%
Top tax bracket: then 70% vs. now 35%

Perhaps it’s not as bad as the press- or even we would like to believe. The benefits are that prices of just about everything are coming down due to reduced demand and government efforts. One example is fuel prices (look at what gas prices were just 6 months ago). Another example is the fact that mortgage rates are at a 50 year low, and you really can’t be in a better position to buy a home. There will be several thousand active duty military and civilian contractors along with their families coming to our area within the next two years. That huge influx of people will begin to create housing demand without precedent. So, even if you already own your dream home, this is a very good time to buy investment property!

People that (get ahead) are the ones that don’t follow a pack mentality; they buy when no one in buying and sell when on one is selling. If you have any further questions, do not hesitate to call on us.

Posted on Wednesday, February 25th, 2009 at 12:19 pm and is filed under Homes. 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.