Long term thinking
With stock market volatility concerning everyone these days (though most of us aren't really that concerned when stocks go up hundreds of points in a day), I started thinking about some comments I've heard from buyers regarding the housing market. There is no doubt that some people are postponing the purchase of a home simply because they are scared that prices may go down.
While sharp price declines haven't really been the case in the Charleston real estate market, all the attention by the national media can't help but impact your thinking.
But I wonder why it is seemingly OK for stocks to go up or down by 2%, 3% or even 5% in a day causing the value of your stock portfolio or your 401k to go up or down accordingly but everyone seems to hate the idea that the value of your home might go down by 2%, 3% or 5% in the next year.
Nothing goes up or down in a straight line or forever and both stocks and home values have gone up over the long term. It requires long term thinking when you are planning on buying either stocks or a home. And you still have to live somewhere.
And the best thing is ... you can actually live in your home but you don't even get stock certificates to paper the walls in your home any more.