Quote:
Originally Posted by Villager2be
Hi All,
Hoping to get some feedback from those who have been around TV since the 2008/09 Great Recession, I have been getting "pro" feedback that the 08-09 housing crash nationally, and in Florida specifically, essentially had zero impact on the Villages market, that TV was a rare exception and was essentially unscathed, can that possibly be true?
The same source also indicates that I am practically assured that any new home that I buy now will be worth ~$100k more in a year once the neighborhood/area is completed and more mature. As great as that would be, I am not drinking that kool-aid (yet, lol!), especially as it seems the market has been softening a bit over the last year (can it be?).
Given your experience, and how far the market has come, would you even be concerned about downside risk? I am buying as a snowbird owner/resident but also hope to recoup expenses by hosting for the remainder of the year via short term rentals through a property management company. I'd rather not buy at a market peak, I would just rent for now if I thought that was the case.
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If you rent, you not only get no profit from your investment, you lose 100% of your investment. You never see it again.
If your goal is to make money, then don't ever EVER rent, anything, ever. It's a guaranteed loss.
There is no guarantee that your purchase here will increase in value at all, let alone by $100,000 in a year. It also depends on what house you're looking at. A home that cost you $980,000 to buy, might certainly go up in value by $100k in a year. A home that cost you $200,000 to buy, will probably not go up in value that much in a year, or even in two years.
Properties in the Villages SEEM to have a better chance of stability in value. And don't forget - if the property you buy this year goes up $100k, and you decide to sell it to make that extra $100k - well you'll be out of a home, and need to buy another one. Problem is - the value of the other one will have gone up as well. So you might end up losing in the end.
Real estate futures is not a good investment if you're looking at a retirement home that you actually intend to live in, even part of the year.