According to recent data from a variety of sources, including Fiserv, a financial analytics company, “the housing market has even further to fall before home prices hit rock bottom.”
Winners: Real Estate Investors
Foreclosure activity is actually picking up, not subsiding. Lenders are fast-tracking more foreclosures through the pipeline after dealing with the “robo-signing” scandal that involved loan servicers rapidly signing documents without proper scrutiny.
Then, there’s the shadow inventory. Those are homes that should have been on the market that lenders have been holding off hoping that home prices would rise enough to help offset losses.
Now, we’re being told that the housing market might not start coming back until mid-2012. That means lenders will likely be forced to start releasing even more foreclosures into the marketplace to reduce inventory and carrying costs.
Even if there is a mid-2012 uptick, forecasters tell us that nationwide home appreciation won’t exceed 2.4% between June 2012 and June 2013. That’s hardly enough to excite anyone and will not even be keeping up with inflation.
So, the pain continues for homeowners while the opportunity for real estate investors increases dramatically.
For our Self Directed IRA & 401(k) clients who are investing their retirement plans into income-producing real estate, the perfect storm that created the economic meltdown has produced the best real estate investment climate in the last 50 years.
Join the growing number of retirement investors that are moving some or all their funds out of the stock market and into the residential rental market. Contact us to discover how you can tap into the investment opportunity of a lifetime.
For more information visit www.IRA123.com or call 877-229-9763.