are already 28 days into the New Year an if one of your New Year goals
was to get involved in Real Estate on Grand Bahama Island and build
wealth then it is time to make your move. Don’t let another year slip
away and Be a Woulda Coulda Shoulda person but rather make your move
now. It is an economic historical fact that home and land
ownership builds wealth in spite of fluctuating economic conditions.
When there is uncertainty in the market people start questioning whether
it is a good time to buy and sell real estate. We are all aware that
the number of sales have dropped dramatically by our neighbours 60 miles
away in Florida, and their selling prices dropped last year. As
our market in Grand Bahama never had the boom mentality that Florida
had, we have not seen a huge drop in home sales and over the past 5
years our prices still have seen slow but steady appreciation.
Like Aesop’s fable of
The Hare and The Tortoise Freeport is
the Tortoise and slow and steady wins the race as you know. So
if you are wondering: Is this the time to sell because the market is
going to cool again or maybe it’s the wrong time to buy because you
are not sure about the economy in Freeport? If you ask yourself
these questions and can’t make a decision then you are paralyzed like
a deer caught in head lights. Uncertainty about economic trends can
paralyze your ability to make a real estate decision.
no matter what conditions exist in the marketplace, there is a fundamental
rationale that makes buying a home a sensible investment. Owning
property is a way to build wealth. The longer you own a home, the more
wealth you can accumulate. History has proven it time and time again.
estate builds wealth via equity. Each time you make your monthly
mortgage payment, you build up equity in your home as you pay down your
debt. If you make even one or two extra mortgage payments per
year, you also decrease the amount of mortgage interest you pay, potentially
saving thousands of dollars over the term of the loan. At some point,
the home will be worth more than what you owe on it.
estate builds wealth via appreciation. The return on your initial down
payment investment grows at an average of 6 percent per year in our
market or even more based on the desirability of the property. Nice
canal lots in Fortune Bay for example have doubled in price over the
last few years and continue to appreciate. The average selling price
for a canal lot in Fortune Bay today is between $150,000 and $300,000,
if you knew that 5 years ago I know what you would have done. You would
have made a substantial profit on that investment. But if you did nothing
then you will have nothing to show for it. If you decide to stay in
the home you live in and pay off the mortgage, eventually you will be
able to live rent-free in a home that continues to appreciate over time.
So do not Be A Woulda Coulda Shoulda person and make that first step
and start exploring the possibilities of being a property owner.
Start saving money today for a down payment, meet with your bank and
find out about loans, and start looking at real estate web sites so
you can begin to understand the market. My advice for you today is to
make one step toward your goal today even if it is writing down your
goal. Then tomorrow start saving and the next day start looking at property.
Do anything that creates momentum in the right direction but do something
today for your future. If you want to build wealth then Property
Ownership is the answer. Until next week.
Contact James at
Coldwell Banker - James Sarles Realty