First let me lay out what Dr. Mark Dotzour, the Chief economist for the Real Estate Center at Texas A&M had to say (see, doctors are smart). "Interest in Texas real estate has been magnified by the declining markets elsewhere across the nation, Texas housing is still very affordable," he said, "and the low tax structure and pro-business climate makes Texas a destination for corporate relocation for firms that are striving to compete on the global marketplace."
Dotzour said population growth is another key factor contributing to the states healthy real estate climate.
"The latest figures show Texas is growing by about 400,000 each year ," he said. " All of these people need homes or apartments in which to live."
"Job growth is also strong, with Texas outperforming the national average and likely to continue doing so for the foreseeable future." Texas still has home price appreciation, and the housing market specifics look good.
If the otherwise robust Texas market faces any risk, Dotzour says it is from the mortgage market and increasing foreclosures, especially for houses priced at under $200,000.
"Consequently, higher levels of foreclosures are to be expected," he said.
Okay, here is my definition for "recession" in Texas. Lets put two and two together.
Dr. Dotzour said, (1) We have a strong economic strength with corporations moving their headquarters to Texas (specially in the DFW area), meaning there will be plenty of Jobs. (2) We have 400,000 people moving the Texas each year, meaning they will fill the jobs and will need homes. (3) The mortgage market is seeing increasing foreclosures, meaning there will be plenty of homes to buy at very "Low Prices" to provide to those needing homes to "Buy"and "Rent."
So if you have been thinking about becoming a real estate investor, or just thinking about boosting your investment portfolio by buying some rental properties for cashflow, its a good time.
Folks, we are in a recession. "Now is the Time to Buy."
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