Is Now a Good Time to Become a Real Estate Agent?
Before you commit to a new career in real estate, consider the job outlook and the housing industry as a whole. Real estate tends to run in cycles. At times, business is brisk, but sometimes sales of a commercial or residential property will be very slow for a year or two. So, is now a good time to become a real estate agent, or should you wait? Here are a few things to consider:
good time to become a real estate agent
The outlook varies by location
While the housing market overall is currently on an upswing nationally, real estate is—by definition—a local business. Market conditions in Kansas City may be completely different from those in Denver, southern Illinois or rural Maine. One of the best ways to learn more about your particular market is to immerse yourself in local data and to talk with the most active agents and brokers. You’ll want to answer the following:
98% expect interest rate increases from the Federal Reserve in 2018
The first year of the Trump Administration is in the books, and with it came a new tax bill passed into law and soaring stock market records. As the economy continues to show signs of growth in 2018, commercial real estate executives cite rising interest rates once again as their lead concern for the industry this year, according to Seyfarth Shaw’s 3rd annual Real Estate Market Sentiment Survey.
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(BPT) - Owning your own home comes with many advantages, including escaping rising rents and the personal and financial stability associated with homeownership. Fortunately, millions of Americans, with less than 20 percent down, have been able to buy a home sooner thanks to mortgage insurance (MI). If you don't put down 20 percent of the mortgage cost, you will likely be required to purchase MI, which enables low-down-payment borrowers to qualify for home financing from lenders.
While homeownership has many benefits and continues to be part of the American Dream, it is not without costs. Several surveys have found that the majority of first-time homebuyers - over 80 percent according to one study - put less than 20 percent down. For these borrowers, there is usually the added expense of MI, which may give some of these borrowers pause.
But there is good news: the monthly private mortgage insurance premiums do not last forever on most conventional loans. And when private MI (PMI) cancels, homeowners will have more cash in their pockets each month - money that is available for home improvements or other goals. It is important to understand, however, that not all MI is the same, and not all MI can be canceled.
There are numerous low-down-payment mortgage options available that include MI. The two most common are: (1) home loans backed 100 percent by the government through the Federal Housing Administration (FHA) that include both an upfront and annual mortgage insurance premium (MIP); and (2) conventional loans, which are typically backed at least in part by private sources of capital, such as private MI. The key difference is that one form can be canceled (PMI) while the other (FHA) typically cannot be canceled.
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Bill Gardner is one of the TOP Real Estate Brokers in Florida. He now supports over 500+ agents and manages millions of dollars of transactions. He is a successful Real Estate Investor and a master sales trainer and motivator. Join Global Luxury Realty Today!