If You Must Purchase Now, Be Ready for the Long Haul

We’re currently either at or approaching the top of the market, which means it’s generally not a good time to buy. Sometimes it’s inevitable, but that just means you need to be prepared for losses if you don’t keep your home long enough to gather equity. When you buy at the top of the market, your home’s value will go down before it goes up, so you’ll need to wait a while in order to sell at a profit.

If you’re an investor, don’t look at flipping right now. It’s just not going to provide the return on investment that you want, especially with construction costs being high. Instead, look at purchasing rental property, as rent prices are also on the rise. You can collect rental income now and sell much later down the line when the cycle completes itself.

Photo by FĂ©lix Lam on Unsplash

More: https://journal.firsttuesday.us/buying-at-the-top-of-the-market-prepare-to-stay-put/81992/