The top or the bottom end of the market never gets affected adversely. The rich will remain rich and so will the poor remain poor.
Its the middle income families that get the stick each and every time. Its the people who bought investment properties according to their own taste of what a good property should look like. They purchased investment properties as though they were going to live in them. This is the worst approach to investing in Real Estate.
When the market turns, people usually think of downsizing. The guys at the top are never going to downsize to the level below. The one’s that are in the Middle are the ones that end up downsizing because the ones at the bottom have no where to downsize to.
So when the downsizing begins, supply of middle-class homes increases, demand drops (due to lack of affordability and a credit crunch), the people owning those homes begin struggling and as a result the market tanks.
So, the moral of the story is this:
- The market is on its knees
- Become SMART at reading the market
- This is the best time to get into the Real Estate business
The Real Estate Investment Basics course is a great starting point for the ones serious enough to take advantage of this upcoming market opportunity.
Learn more about our courses.