Just this week, Warren Buffett appeared live on CNBC’s Squawk Box. He was interviewed about the current real estate situation and was asked the question, “ Is now the time to buy?”
Here’s what he had to say:
“If I had a way of buying a couple hundred thousand single-family homes I would load up on them.”
Also during the same interview he answered some equally important questions:
Why invest in real estate now?
“It’s a way, in effect, to short the dollar because you can take a 30-year mortgage and if it turns out your interest rate’s too high, next week you refinance lower. And if it turns out it’s too low, the other guy’s stuck with it for 30 years. So it’s a very attractive asset class now.”
Is buying your own home better than investing in stocks right now?
“If I knew where I was going to want to live the next five or 10 years I would buy a home and I’d finance it with a 30-year mortgage… It’s a terrific deal.”
Should we buy multiple houses?
“If I was an investor that was a handy type and I could buy a couple of them at distressed prices and find renters, I think it’s a leveraged way of owning a very cheap asset now and I think that’s probably as an attractive an investment as you can make now.”
Bottom line: It’s time to buy real estate!
The next bottom line: It’s time to buy real estate in Naples, Bonita Springs or Estero Florida!
If you’ve been sitting on the sidelines, you may want to reconsider. Inventory in the Naples, Bonita Springs and Estero areas is decreasing and has been doing so consecutively for some months now – See the latest Southwest Florida Market Report HERE. Canadians and other foreign buyers are also coming to Southwest Florida in droves to take advantage of the current market. The median home price is also increasing as noted by recent reporting from the Naples Area Board of Realtors (NABOR).
What are you waiting for? Better yet, why are you waiting?