The minute you own your house, you are hoping that prices will skyrocket, right? Well, I live on the other side of that dream. My real estate utopia is a stable market that appreciates 2-6% annually. (That’s how it used to be. That’s the housing market your parents and grandparents are telling you that you should be buying into.)
James Morrison at Banker and Tradesman interviewed me about the current seller’s market
The best markets are those that are relatively stable.
Even if you are happy with all the equity you have “made” in real estate, you still would have been happier in your grandfather’s real estate market.
When housing prices go up in an unsustainable way, they will suffer a downturn. You might be able to sell high, but then again, you might not. Since people need to buy and sell their primary residence for live-changing reasons, it is better to have a stable real estate market, so you can depend on a steady appreciation of the asset with less volatility. If you have to wait three to five years for the market to come back up, your life can be “on hold” in an uncomfortable way.