There are many homeowners looking at the prices homes are selling for around them and they are salivating as they fantasize about upgrading to a bigger home or paying down debt. Home prices from 2008-2012 were in the dumps and if you bought a home then, you probably purchased your home for a great price. Home prices have been briskly rising over the past few years, and now could be the time to take some profits. But, can you really afford to sell your home?
The Great Recession of the last decade taught a lot of Americans many costly and valuable lessons. First, we learned to not trust Wall Street and their predictions — they are manipulators of money and have no soul. Next, if it is too good to be true then don’t believe it. Then we learned you’d better live within your means—don’t overextend yourself. The final lesson was that home values can and will decline and what you think a piece of property is worth may have nothing to do with reality.
Memories of the financial collapse of 2008 and the subsequent Great Recession remain vivid, and for most people housing was the root cause. For this reason, as well as RoMac Building Supply’s reputation for providing information on the commodity and construction markets, I am asked daily about the status of the housing market.