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Posted about 9 years ago

2008 Real Estate Crisis - How US markets did look like.

I am pretty sure that it's not possible to beat market trends.

Bed strategy in great and appreciating markets = profit in most cases

Great strategy in bed and downturn markets = losses

So for me it's necessary to have systems for locating great and poor markets. (How I do it. I shared with you in my previous post HERE) and learn market changes soon enough to be able to change strategy or leave the market.

So I looked at the past, trying to find period off time, when its not good to invest in Real Estate in all US. I found 2 qtr 2008 to 3qtr 2012 - The crisis of 08. In this period of time, there wasn't any market in US that was in Wealth Building Phase - all long term indicators showed, all US markets was not good. BUT and it interested me: In this period of time few markets in US has some appreciation. So if you invest in this markets in period of bigger RE crisis you didn't loose your money, you made some.

Best markets from 2008/2 to 2012/3 by Home Price Appreciation (Inflation Adjusted) 

Bismarck, ND - 9,4%

Midland, TX - 7,7%

Elmira, NY - 3,8%

Victoria, TX - 3,4% 

For me, this is the confirmation, Real Estate is about local market trends. Not about nation or global economy. 

So I am pretty confident that in the future, what ever happen, there will be some good (or at least ok) markets for real estate investments.


Comments (1)

  1. I live in Elmira and invest here.  Thanks for sharing!  It gives me hope.