I love this market. I love Real Estate!. My great grandfather moved to Los Angeles in 1882 from Ireland. His first job was to drag a log down the streets behind a horse to keep the streets flat. He later was part of the fire department and the police department and his job was cut short by his wife after he caught a woman jumping from the second floor of a burning building and broke both his arms. At that point he got into Real Estate, into the rental business. The rest is history. Each generation of Mackels have made their mark on the real estate market in southern California since. My rich family history has proven this fact – Real Estate goes up and it goes down but it goes up more than it goes down over the course of time.
“The way to make money is to buy when blood is running in the streets.”
……………………… John D. Rockafeller
Are You a Contrarian? If you are, then you should be out buying right now.
As defined by http://www.investopedia.com/ Contrarian – An investment style that goes against prevailing market trends by buys assets that are performing poorly and selling when they perform well.
We are in a time where the contrarians will be out picking up deals on homes and they are the ones that everyone claims were the smart ones for buying homes when the market rises.
Now let’s get our heads screwed on straight. We are seeing multiple offers on certain Simi Valley homes, but this does not mean that if you don’t get out there tomorrow you are going to lose out on a Simi Valley home. Jumping in line when every one else jumps in line is not contrarian. When there are programs on TV called “Flip this House“, then be careful to not get hyped out of a true contrarian purpose.
Take for example my local market (Simi Valley); you will find here that many of my collegues thinking a turn in the Simi Valley home sales market has happened and if you don’t get in quick, you’ll miss out. Wrong…..let’s look at the facts.
Single family detached homes in Simi Valley, closed sales YTD = 109 homes (as of March 19th), monthly average = 42 homes. Last year our monthly average was 67 closed home sales per month.
We are off pace and this is good news to contrarians like myself. There are great buys, there are going to be many great home buys and there is absolutely no reason to let homes with multiple offers hype you into thinking the market is going to go racing up tomorrow. Let’s make smart home buying decisions in this contrarian haven so we can all reap the rewards of Southern California Real estate especially in Simi Valley.
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