Are We in a Bubble? With Matt Bates and Greg Rice
Emilio, Matt Bates from Movement Mortgage and Greg Rice of Nexus Property Management talk about if there is a real estate bubble and how today’s market compares to 2006.
Are We in a Bubble?
Some of what we’re seeing now is commercial real estate picking up as well as increasing home prices.
Rhode Island’s market is just starting to come up while everyone else in the country has reached their peak.
Matt explains how we’re not in a bubble… yet, though it looks like we’re heading there. Lenders are doing more “homework” regarding who they lend to and have more restrictions as a result.
Greg agrees with Matt that the requirements have tightened drastically, however prices haven’t really reflected this so there is seemingly no relation. He claims that while it’s not a good time to buy investment property, if have it it’s a good time to pull equity.
What About Low Inventory?
It’s simple, since prices have increased people don’t have anywhere to buy due to low inventory so they’re also not selling. Emilio explains this point in further detail in the video.
Single family homes are not currently in a bubble, but multifamily homes are definitely reaching that tipping point sooner rather than later. If the plan was to sell investment and buy something else, now is the time due to the current state of the market.
For more information on the services that Nexus Property Management provides as well as franchising opportunities, check out their website here:
Also, for more information on Movement Mortgage, follow the link to their website below: