This
past week, new home prices in America hit a record high…
The
median new home price in the U.S. is now $321,000.
The
record high grabs the headlines… but the housing story right now is
even more powerful than the headline alone suggests.
For
example, new house prices are up 9.7% since last month – the
biggest increase since 1992.
So…
did you miss out on all the gains?
No,
no and no…
In
short, the case for housing hasn’t changed…
Mortgage
rates are around 3.5% – near record lows. And the supply of new
homes is low – there are enough to last 4.7 months at current sales
levels. So the fundamental case for higher home prices is extremely
solid. There’s plenty of upside.
Beyond
these housing-specific numbers, the bigger issue is this: Your
mattress pays no interest.
Mom
and Pop America earn next-to-zero percent interest on their money in
the bank…
You
can’t retire on zero percent. You need to do something else with
your money to live off of it in retirement.
Mom
and Pop America need to buy a rental property and earn rent… or
they need to buy dividend-paying stocks. Currently, they’re doing
neither.
That
needs to change… because their mattress isn’t about to start
paying them interest.
Mom
and Pop haven’t bought a rental property or stocks yet. But they
will.
We
might be approaching the later innings of this housing boom that has
lasted from 2011 to 2016. But there’s still plenty of upside from
here. There’s plenty of money to be made in housing (and the stock
market).
Take
advantage of it now before it’s too late…
Give
me a call if I can help you in any way.
On
Your Team,
Ken
951-760-3833
KenAHall@gmail.com
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