Charleston, SC Posts

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The road to recovery - What does it look like? We are almost there!

While there is always speculation on when the market will turn around, I will admit that I am not a prophet.  I thought this chart presented an interesting picture and I added the years which is my take on the real estate market in Charleston, SC (and probably in a lot of other places also).  Real estate has always been a cycle.  Some cycles are shorter, some are longer.  And you can't really say when what stage begins or ends until it is over.  I purchased my current primary residence in 2005 so I can honestly say that I have personally gone through these emotions as a buyer as well.  We also purchased an investment property in 2006 and yes I was in denial.  Since I understand the real estate cycle, I have not been paralyzed by fear or panic because I realize that the best opportunities are coming.  I hope that by sharing this chart, you also will feel the same.  Well, I admit, I might be panicked if I had to sell a piece of property but I would weather the storm if possible and rent the property out.  Nevertheless, I believe the type of market we are in and will be in this year will present the maximum point of opportunity.  Isn't that what we look for when we purchase investments?  I do not know when it will end but there is an air of hope and optimism with the new administration whether they were your pick or not.  I believe if the hope can be maintained, it will be the mark of coming out of the real estate valley.  As a buyer, this means that it's time to act while prices and interest rates are low.  As the real estate market recovers, I believe interest rates will rise.  If prices rise as well as the interest rates, you'll be paying more for your real estate on the ticket as well as monthly in the price.  You won't know we have come out of the valley until the prices are on the rise and by then, it will be too late to pick up your "deal."  Look for your opportunity and seize it in 2009!  Where do you think we are on the emotional roller coaster as it relates to the real estate market?

 

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Michele Reneau - Military Relocation Specialist with Carolina One Real Estate in Charleston, SC.

Contact Michele Reneau, Top Real Estate Agent, North Charleston, SC Relocation Expert, CRS, GRI, ABR. Licensed Realtor® in South Carolina at 843-572-0518 to list your property for sale or to purchase real estate in Charleston, Goose Creek, Summerville, North Charleston, Hanahan, Mount Pleasant and the surrounding areas in Charleston County, Berkeley County or Dorchester County, South Carolina.  Featured on HGTV's House Hunters. Publisher/Author for Charleston Real Estate Update  including featured listings and sold properties, and monthly statistics on Charleston Real Estate MarketRESA 2009 Staging Realtor of the Year Nominee. The Charleston Relocation Expert specializes in military relocation, first time homebuyers and creating marketing exposure to sell your home in the Charleston SC Real Estate market.  I can also be contacted by email at mreneau@carolinaone.com. To view all Charleston Metro area houses for Sale Click Here and then click on Search for Homes.  With over 25 years of Lowcountry Living, I know the Charleston Metro area. I will help you get your home sold and/or help you buy your Charleston home or land.

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www.CharlestonRelocationExperts.com

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Comment balloon 10 commentsMichele Reneau • January 23 2009 09:36AM

Comments

I'm in total agreement that this is the best opportunity to purchase real estate we have seen since the early 1990's. Not only are prices down interest rates are at historic lows. Those who wait will be sorry they did.

Posted by Alan Gross, Loan Consultant (PrimeLending, A PlainsCapital Company, Equal Housing Lender) over 9 years ago

Michele,

Really GREAT post, this "cycle" of emotions is something that I have talked about but never really seen illustrated like this.

I don't think that the upward recovery curve is necessarily going to hold to form, nor do I necessarily think we are at a bottom yet - but that being said you do make some good points that are at least worth a healthy debate. :)

Posted by Mark MacKenzie over 9 years ago

Alan-I agree with you 100%! 

Mark-As stated, you never really know what stage you are in until after you are on the other side.  But I think it is interesting to note that we have gone through many of the stages of emotion and eventually, we'll be on the way back up. Thanks for stopping by!

Posted by Michele Reneau, Realtor, GRI ~ Charleston, SC Relocation Experts Team (Certified Staging Professional (CSP) Elite Instructor) over 9 years ago

LOVE the chart. I guess time will tell won't it? Trying to figure all of this out is beyond exhausting and frustrating, but I'm trying to just ride it out and enjoy life despite the bumps :-)

Posted by Colleen Fischesser Northwest Property Shop, A Tradition of Trust in the Pacific NW since 1990! (RE/MAX Advantage | Managing Broker) over 9 years ago

Michele,

Optimism is actually occurring all around us - just not everywhere all at the same time. Hold on. It's going to get good. :)

Steve

Posted by Steve Hoffacker, Certified Aging In Place Specialist-Instructor (Steve Hoffacker LLC) over 9 years ago

Colleen, I agree, no use in trying to figure it out.  But it's an interesting chart.  I bought my 1st house in 2001.  I'm didn't know much about what stage of the cycle I was in, but by 2003 as I started to pay attention, I realized the market was on the climb.  I wasn't a realtor then, but I think a look at the chart might calm someone's nerves to realize that it is a cycle.

Steve-You are right!  I'm looking forward to that optimism being reflected in the real estate market.

Posted by Michele Reneau, Realtor, GRI ~ Charleston, SC Relocation Experts Team (Certified Staging Professional (CSP) Elite Instructor) over 9 years ago

Michele,

Very well-said.  More millionaires were made during the depression than any other time...the point is to think with the brain, not the emotions...the chart illustrates that point so well.

Posted by Chris & Karen Highland, Integrity, Experience, Enthusiasm! (eXp Realty) over 9 years ago

I do hope that we are at the bottom here Michele.  We're really in God's hands, but as of now, we can hope and pray.

Posted by Larry Bettag, Vice-President of National Production (Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001) over 9 years ago

I think more people need to take a look at your flow chart here!!  If I had the money to invest right now, I would definately be buying properties... unfortunately mine is all in sofas, dining room tables, and chachkies.... lol!

Posted by Melissa Marro, Jacksonville Real Estate and Home Staging (Keller Williams First Coast Realty - The Marro Team) over 9 years ago

Chris & Karen-I bet the same thing will be said of many about this time period in the next 10 years.

Larry-We won't know the bottom until we are on the other side of it but understanding the emotions of the real estate cycle is a beautiful thing. 

Melissa-I hear ya!  If I could, I would too.

Posted by Michele Reneau, Realtor, GRI ~ Charleston, SC Relocation Experts Team (Certified Staging Professional (CSP) Elite Instructor) over 9 years ago

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