REAL ESTATE ON STEROIDS

Looking back on the unprecedented growth in the real estate market for the past ten years, the well-muscled housing prices seemed to have been on . . . well, steroids. While lenders matched loans and interests rates to the swelling real estate market, many observers knew the day would come when the high would hit a low.

An interesting article in Continental Airline’s July in-flight magazine called, The Silver Lining Strategy, by Chris Warren, cites real estate developers and investors across the country excited about the new real estate diagnosis.

These professionals see investment opportunities in the downturned market for the past months. They welcome the tightening of the loan market as a healthy move. Lenders will now be more diligent, as in traditional times, over the types of loans they make.

While prospects for excellent real estate investments exist in the Caribbean, Panama, Puerto Rico and other tropical locales, the article mentions one 80 year old investor, Hugh Bromma, founder and CEO of Entrust Group, a nationwide administrator of self-directed retirement plans, who has invested in real estate since 1963. Mr. Bromma points to South Florida’s present condition as another golden opportunity in real estate.

One of the areas hardest hit by foreclosures, South Florida now offers an amazing inventory from which buyers can choose. Mr. Bromma claims it is the perfect time to buy that second residence, or for first-time buyers to purchase their dream home.

What it boils down to is attitude. Either the sky is falling, or you can finally touch the stars. The only difference in today’s market is to exercise your investment for the long haul. If you plan to purchase a property, pump it up then turn it around for a profit, this is not the time. However, if your goal has been to own a south Florida property, now is the time—especially if you are willing to view your new purchase as a long-term investment.