DC Fawcett Real Estate gives overview of the market cycle.We have heard this many a times, Real estate is cyclical. Nevertheless, real estate patterns can be observed and predicted. It is with this prediction; people invest on income properties and make sane financial decisions pertaining to real estate.
On the other hand, seeing the fact that, real estate cycle moves at its own pace, unlike the consistency of certain factors, sometimes it is very difficult to predict. DC Fawcett says that Typically, the real estate market moves around four phases or stages of life namely recovery, expansion, hyper supply and recession. Let’s look all of them in detail.
This is a subjective start point, where the revival and recovery happens from the last decline. Well, it is generally said that this is the right time to buy, however there is no denial of the fact that the market is no longer in a free fall. Signifying high yet stabilized job loss, home foreclosures are said to be at peak during this phase.
In the second phase, things will fall in place, employment, growing realty businesses, rise in home prices, activated by a reduced supply but escalating demand, more and more folks make their mind up and go for buying real estate than renting. This paves way to expansion on all fronts. During this phase of the real estate cycle, good deals are still found, because of the market’s dealing with foreclosure mess which formerly existed, however it must be worked for. Having said all that, the entry of speculators comes into play. They are investors who closely rely on future growth and pay more than expected for a particular property. These speculators move us to the next stage.
Skyrocketing prices, mass building projects… Demand at this phase instigates to diminish as the supply built during the expansion phase reaches stability. With that said, it is generally good to not get enticed by the wealth of other realtors. This would create a greater impact.
Finally the slump happens- recession. During this phase real estate investors find middle grounds and jump in to find some great deals and save the plunging economy.
How to take an accelerated approach to real estate goals in a cyclic real estate market completely depends on the type of investment you make. If you are looking out for more information on the same, stay tuned to DC Fawcett virtual real estate investing club blog and you will be entitled to have the inside track on forthcoming opportunities with DC Fawcett VREIC at his seminars and webinars.
DC Fawcett is recognized worldwide as the leading creative thinker on real estate trends; impacting the real estate entrepreneurial dealing. He is the proprietor of virtual real estate investing club who has helped more than thousands of aspiring realtors to reach their goals and become a successful real estate entrepreneur.
He has held a number of seminars which throw light on demanding real estate concepts. For more details, stay updated to his blog and read his articles to know how to get into a realty dealing which is scam-free.