Warren Buffett at his annual shareholder’s meeting said that inflation is real and is here in the USA. How will this affect the real estate market in North Centra WA?
The first phase of inflation is increased buyer demand. There will be thousands of buyers and demand for homes. When you have inflation it does not pay to hold onto cash and real estate is a great way to transfer wealth. This is what we are seeing right now! Massive demand from in town and out of town for real estate. Nobody wants to sit on cash.
Banks want to lend as much and as fast as possible. Banks have so much cash they can’t lend it fast enough.
We are seeing the largest game of hot potato in the history of mankind. The only difference is cash is the potato. Nobody wants to be holding it.
The next phase will be increased interest rates. No politician wants this but, somebody will have to do it in order to stop inflation.
When interest rates go up and they will. That will be the peak. If you wait to see the peak you will be too late.
Not only that but, capital gains taxes are increasing in the State of Washington and most likely Nationally. If you wait to sell you may be hit with a huge tax bill.
My advice is to explore selling your home in 2022. That is what I’m telling all my clients here on out. It is time to sell! Cash in and avoid major taxes.
Our team will reach out to schedule a home value report of your property. There is never any obligation to list or sell.
Nick McLean Real Estate
PS Don’t worry about where you are going. There will be plenty of options very soon!