Where Is Residential Real Estate Headed In 2012 in Nevada?

                                        

As the year 2011 keeps chugging along, there are definite signs out there that the Real Estate market are slowly picking up steam. National news has been indicating the last few weeks that Real Estate sales have been increasing but home values (generally) have been falling.  There are a few markets that this is not the case such as San Diego, San Francisco, South Dakota, and even some part of Florida where home values have steadied or slowly increasing.

Nevada, the state I currently reside in, are still seeing the grunt of the post recession Real Estate Bubble.  The State still leads in the number of Foreclosure filing for the month of April.  Due to the high volume of Bank owned homes and shadow inventories, prices are still remarkably low compared to any other times in recent history.  The fact that it takes more money to build a new construction home than to pick one up currently for sale is crazy. So, if anyone out there looking to buy a home, there could be no other better time than NOW!

So, where is the Real Estate Market in Nevada headed in 2012?  Will the price go down, or go up? Is this the best time to be investing in Real Estate?  Are the opportunities still there to succeed in becoming a Real Estate agent? 

These are the questions I frequently hear being a Real Estate Broker here in Reno, Nevada.  Many people are very curious on what opportunities the Real Estate market offers.  Well, here are my short list of answers I usually give to those who ask.

1. Where is the Real Estate Market in Nevada headed in 2012?
Answer:  Hard to predict. 

The one certainty of the current Real Estate market is that it is very uncertain.  About a year ago, I saw a huge spike of short sale homes entering the market relative to homes being offered as foreclosure.  Now, I see as much foreclosure homes as short sale homes entering the market in Reno, NV.  I do expect that more foreclosure homes will enter the market within the next 12 months. home selling will be faster next year than this year due to the shorter transaction time to close foreclosure homes compared with short sale homes.  I believe more Real Estate Investors will enter the market in hope of grabbing great deals.  Buyers will see lower priced homes by 2012 (compared to this year), and more sellers will default on their home loan payments for a variety of reason (i.e. Strategic Default, loss of job, Divorce, etc). 

2.  Will the price go down or up in 2012? 
Answer: Price will still go down in 2012.

The after affect of the Great Recession is massive.  I believe that the great recession is actually a modern day Great Depression.  Just like the Great Depression of the late 20's and 30's, our Great Recession is a generational occurrence.  Millions of home foreclosures, Billions of lost home values, and Trillions of lost paper assets (wall street) due to bank bailouts, could cause an extended delay of home prices inching back up in Nevada.  However, one thing is for certain; what comes down must come back up.  So expect home prices to go up, just not right away.

3. Is this the best time to be investing in Real Estate?
Answer:  Depends on what you mean on the word "Invest." 

For speculators (home equity watchers)  and flippers, probably not.  For Cash Flow investors, more likely "Yes."  Prices are so low in Nevada that in renters are actually starting to pay more in rent than do homeowners pay in mortgages for the same house.  Cash Flow Investors are receiving rent money much higher than the the mortgage they pay on the loan.  When the price was sky rocketing in 2004-2007, more speculators and flippers were entering the market. Cash flow investors were out during those times.  Now, its the other way around.

4. Are the opportunities still there to succeed in becoming a Real Estate agent? 
Answer: Yes! 

With the rising REO (Real Estate Owned) foreclosure homes entering the market, the price of homes being so low, and the down payment assistance that the government gives to the housing market, this is definitely a great time to be in Real Estate.  What I have learned being in Real Estate for over a decade, the Real Estate Market is a "Market."  Opportunities are out there if you search hard enough.

What Now??

Patience.  Residential Real Estate in Nevada are currently going through a very massive change of  event. Renters are becoming buyers, Sellers are becoming renters, and Investors are becoming landlords. The Real Estate world we have known back 5 years ago no longer exist. A new world has been created through all of this.

However, Residential Real Estate of 2012 do have one certainty; that it is definitely very uncertain.

Erwin Sigua, Broker/Owner Entrepreneur Real Estate 2011
Author, Trainer, Real Estate Sales coach
 

The Secret to "YOUR" Success Is..........

THE SECRET TO "YOUR" SUCCESS IS.......

"A POSITIVE ATTITUDE"

There is definitely no other greater determinant on how you will succeed in your family, job, career, and profession than having a Positive Attitude.  Positive Attitude is the foundation on how you should embrace life.  It should be the feeling you get as soon as you wake up in the morning.  It should be the feeling you get when you drive to work.  It should be the feeling you have when you talk to your customers. Definitely the feeling your in when you talk with your boss. 

A Positive (feeling) Attitude, therefore, is the foundation for your everyday success.  

Now, does Positive Attitude occurs naturally?  NO!! 

Believe it or not, Positive Attitude requires a lot of mental, conscious work in order for it to happen. Here are a few examples on what I mean on this. 

1. As you drive by looking for a gas station, you see the price of a gallon of gas is at $4.40 for regular unleaded. what is your reaction?

2. Your child just received a "D" on his test exam, what do you say?

3. Your Best Friend is telling you about a "juicy" gossip about another close friend what do you do?

4. Your Boss decides to put you under performance evaluation, how do you act?

Now in any of these examples you decide to think, act, or respond "Negatively" Don't worry, most do.  As people we are conditioned to withdraw from a bad situation.  We are also conditioned to listen to negative things rather than positive ones.  Do you watch or listen to the News?  Guess what, local and international news headlines are mostly negative ones. Imagine a local and International News headline starting off with a fireman saving a kitten stuck on a tree. hmmm.. Or a local school child winning the spelling Bee.  hmmm.. again.  Not so much of an attention catcher is it?

Since a Positive Attitude require mental work, follow a few of these suggestion:

1.  "Stop blaming others for your situation." Remember, a victim never prosper.   I have not met a successful victim in all my years.  The Economy, the boss doesn't pay well, the wife or husband hates what I do, etc.  Get my drift? 

2.  "Be a solution provider, not a solution taker."  If you teach your mind to solve problems  that others deem as unsolvable, you will receive success quicker than most people.

3. "Think first, Before giving suggestions or advise."  The truth of the matter is, not everyone will welcome an advice.  Listen and only give advice when asked for.

4. "Avoid Negative People." You know who they are.  These are the people who put an emotional gas to your emotional negative inner fire.  These people are dream killers, relationship killers, and emotional drainers.  Stay away at all cost.

5. "Understand that your choices has always been yours."  You have the power to change your situation.  The only one stopping you is "YOU."

6. "Attend Seminars, Read Books, Listen to Cd's on Positive Attitude."   There are so many "Guru's" on positive thinking.  What comes to Mind is Dale Carnegie, Napoleon Hill, Zig Ziglar, John Maxwell, Earl Nightingale, Henry Ford.  Know who you want to follow and start reading.

7. "Check your language thoughts." 

• Is the Glass half-full or half empty? 
• "I'm Glad the price of Gas is only $4.40 not $6.40."
• "I'm Happy My Boss challenges me on a performance evaluation, Now I can show him how great of an employee I'm really am!"

8. "Thank and Count your God-Given Blessings Each Day."  YES! Spiritual strength provide humbleness to all the positive gifts we receive. 

So, there you go. Follow some of these advice and you are on your way to reeling in a positive attitude mindset.  With enough practice, you will see the world in a totally different way. Problems that used to bother you will no longer do.  You will be more aware of negative talks and chatters; thus giving yourself a choice to leave the negative environment.  You will also see a difference on how your co-workers and bosses treat you.  Many will be amazed in your transformation; thus attracting more positive oriented friends while scaring away the negative ones. Start positive thinking now and create a whole new world for yourself and for your success. 

Always Remember,  "What You Think, You Become."--- Erwin Sigua Trainer, Speaker, Entrepreneur.