Is it time to wait or buy?

[Brad Smith]

I'm assuming that I should wait on buying any more properties with the market being as hot as it is here in Houston.  I'm assuming that, when it cools off, prices will be more reasonable... or will prices stay the same and this is the new normal???

[Bob Okenwa]

@Brad Smith

I'm not sure how old you are, but historically, home prices don't go down over time. Below is national data and real estate rarely sees large declines in prices. I say that because for those of a certain age, the GFC of the late 2000s is the only downturn they've seen and they feel that any rise in price is a bubble and a crash is imminent.

https://dqydj.com/historical-home-prices/

https://fred.stlouisfed.org/series/MSPUS

As for your area, major declines in housing appear to be once in a generation over the last 40 years. If you find a deal that makes sense right now, buy it. Or you're probably going to be waiting a long time for that sky to fall. BP is littered with doomaday prognosticators waiting for a crash or major pullback since 2012. For every 10 people who are waiting on a cool-down/correction, there are 3 or 4 smart investors making money by finding good deals.

https://fred.stlouisfed.org/series/ATNHPIUS26420Q