The Biggest Real Estate Sale In History

Filed Under Buyers, Sellers, Sellers & Buyers | 1 Comment

That’s what is happening right now. We are in the biggest real estate sale in history. What I’m about to share with you is basic information that may help you understand exactly where we are in the market.

First, let me say that this is not an advertisement for you to call me and buy a house. None of my articles are, but this one started off like that’s what it’s going to be. Again, it’s not. However, this information is so strong, you’d have to be an idiot, not to want to pick up the phone and call me or a friend you know who’s a real estate agent.

Now, let’s get to it. When you talk with friends, you probably talk a lot about prices dropping and mortgage rates being low. If you’re in the market to buy a home, you’re especially talking about this. But what you may be missing is the affordability of homes. Of course, unemployment in the country is high so this is all relative to whether or not you have a job or are secure in your current one, but I digress.

In New York and Long Island, the house payment to income ratio is around 30% less than the 30 year average. What does this mean? It means that owning a home is cheap right now. Of course, we’re talking about Long Island here, where taxes are nuts, but I always like to say, “you get what you pay for”. I’ve lived in other states and let me tell you, I’d rather pay higher taxes to live here, than in another state where you can’t get a decent slice of pizza! Mama Mia!!!

Again, I digress.

The point is, it’s not about low mortgage payments or lower prices. It’s these things that make up the opportunities that are waiting for you to seize.

When compared to median income, if you’re monthly mortgage payment is only 13% of your total income, yes, that’s really unbelievable. I know that the median income on Long Island is much higher than the national average and I know home prices are higher as well, but I’d have to take a guess and say that in comparison to monthly mortgage payments, we’re probably averaging around 20% to 25% on the average.

To own a home on Long Island and have 3/4′s of your income free to pay for things other than your mortgage and own real estate…it’s a no-brainer.

I’d like to take a line from Crazy Eddie (the guy in those commercials years ago)…”It’s insaaaannnneee!”