Listing Courtesy of JACK LINGO REHOBOTH
Good investors tend to be cautious souls. For those who prior to 2007 had never ventured into the realm of Rehoboth Beach real estate investments, the ensuing downturn might have been enough to discourage any curiosity about that direction (even if their other investments had also suffered during the global financial crisis).
Nonetheless, at this juncture those same cautious investors might well assume that the value of real estate investments in the Rehoboth Beach area have rebounded so substantially that it’s now too late to bother looking into them. But as National Public Radio has just pointed out, there's an excellent argument to be made that conditions are now highly conducive for real estate—with real estate investments in Rehoboth Beach being no exception. I could tick off three solid reasons that immediately leap to mind, but stand corrected: NPR points to four:
1. Employment. Employers are hiring anew, and "when companies are hiring, would-be homebuyers feel more confident about taking on mortgage debt." Unemployment rates have (finally!) come down to 5.6%, and with employers having added 252,000 jobs in December, consumer confidence is up nearly 20% over a year ago.
2. Prices seem more rational. NPR points out that from January to October, prices rose 4.5% nationally; a "subdued" gain compared with the 11% burst of the year before. They project that the slower price appreciation may have set the stage for a "buying surge in 2015." From a Rehoboth Beachreal estate investments standpoint, too, gains from last year’s run-up in equities markets combined with mortgage rates still holding below 4% would seem to create the key elements many investors would consider favorably.
3. Demand for rentals is high. There is a healthy demand for rental accommodation across the country due to a tight supply of quality accommodations. USA Today tells us that between 2009 and 2013, the national vacancy rate for apartments dropped from 8% to 4.1%. Over the same period, the effective rent increased by 12% to $1,083. As one potential consequence vis-à-vis Rehoboth Beach real estate investments, new landlords might expect to be more selective about the tenants that they choose. That would mean fewer headaches for landlords with troublesome and slow paying tenants. It is might also portend that investment properties will stand vacant for briefer periods.
4. Millennials are sick of Mom’s basement. NPR points to a Census Bureau report that says only 36% of Americans under age 35 own a home, down from 42% just seven years ago. The recovering employment picture might not enable young people to save up for a down payment for a while yet, but renting quality digs should soon be more doable than was previously the case. That could set the table for a continuing robust rental environment, with Rehoboth Beach real estate investments benefitting proportionately.
NPR’s four reasons for optimism in 2015 are actually only the tip of the iceberg. If you have ever had the thought that it could be worthwhile to take a look at Rehoboth Beach real estate investments, this is a great time of year to give me a call!
Many people don’t fully understand why it is that St. Patrick’s is the perfect day for selling a Rehoboth Beach home, or for buying one. But if ever there were a right time to explain it, this is it. There is one drawback to any such explanation, though: namely, that it makes so little sense.
That does not seem to make much difference to a lot of real estate industry marketing supply companies. I can bear witness to that fact, in the form of the postcards and various art pieces that are pitched to Realtors en masse ahead of every St. Pat’s. As you might guess, they are green (usually very green), and almost without exception bear some rendition of a four leaf clover. Also rainbows, pots of gold, wee leprechauns wearing green top hats with buckles on them, and sometimes horseshoes (to indicate the Luck O’ the Irish, of course).
What could this have to do with selling a Rehoboth Beach home, or buying one? That’s very hard to pin down. There is the simple good will postcard, that says, “Happy St. Patrick’s Day” with no further connection. That’s a nice thought, certainly, and not risky. Who wouldn’t want to have a happy St. Patrick’s Day? There is one with a good-looking home at the end of a rainbow, with a wee little leprechaun holding a “Welcome Home!” sign—certainly a strong connection between selling an Sussex County home and the celebration.
One of the best ones is the poster that features two shades of green, a cartoon three-leaf clover (mistake there, if you ask me) upon which is printed in Celtic-looking letters, “You don’t need to have the ‘Luck of the Irish’ to sell your home.” You have to like that one, because it doesn’t discriminate against people who aren’t Irish (the closer you get to St. Patrick’s Day, the more you run the risk of seeming to snub the non-Irish among us).
There is one postcard with a lady bug crawling over clover leaves emblazoned with a sentimental poem, but the emotionality of the poetry is tempered by the heading, “For all Your Real Estate needs just give me a call!” Balance is important on St. Patrick’s Day…but it’s not clear that the card with the green beer mugs got that message (which is “Happy St. Patrick’s Day! Remember, parade watching is like real estate. Location, location, location.”).
One that also tips the scales in the direction of crass commercialism is the picture of the big pot o’ gold brimming with gold coins. It says, “It takes more than Luck to sell your home.” I’m not sure what the St. Pat’s message is for that one—that selling your Sussex County home requires you to go out, find a leprechaun or rainbow, and wangle a pot o’ gold? It’s simply not the case. If you ask me, an experienced Realtor with a great marketing plan and a reasonable price will do the trick better than pots o’ gold or four-leaf clovers. Still, that can’t keep me from wishing you a terrific St. Patrick’s Day, as too!