A lot of buyers and sellers are holding back right now because they’re worried we’re headed for another 2008. But look at the numbers.
In 2008, homeowner equity and mortgage debt were nearly identical. That means, if someone hit a rough patch, they had almost nothing to fall back on. That’s part of what made that crash so bad.
Today? Home equity is at $34.9 trillion. Debt is at $14.4 trillion. So, homeowners aren’t stuck. They have equity built up in their homes – which means if they needed to sell, many could and they’d still come out ahead. They have a cushion.
This isn’t a crash. Today’s market still has a solid foundation.
And if worries about a crash have been keeping you on the sidelines, it might be worth having a conversation about what a move could look like for you right now.
The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Paulo Rodriguez and/or related companies do not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Paulo Rodriguez and/or related companies will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.
