They are both solid investments in your future.
According to the National Association of Realtors, on average the value of a home doubles every ten years. In addition, most people’s personal wealth comes from real estate. A personal note: I bought a condo in Irvine in 2000 for $178,500; I sold it in 2007 for $429,000. You can do the math, and see that I made a nice profit, even after paying all costs of the sale.
Education produces the same profit potential. High school graduates don’t have much future earning power. College graduates at the B.A. or B.S. level have a much higher earning power. And it increases exponentially with a Master’s Degree or Doctorate Degree. Whether it’s for yourself or your children… just keep writing those tuition checks… there will be future pay-back in terms of long-term earnings.
In Irvine, we are fortunate in having several higher level education opportunities. Several two-year colleges in the area, regional four-year colleges including the award-winning Chapman University, and the Irvine campus of the prestigious University of California.
And what about current investment in real estate? Interest rates are still at historic lows, and prices of Irvine real estate are comparatively low. It’s a great time to buy! A possible scenario: a home you could have bought two years ago for $600,000 is now priced at $500,000 or less. Given that real estate always appreciates over time, doesn’t that sound like a good time to call a Realtor?
As of 6 pm on April 23rd there are 887 active listings in Irvine; 479 of them are under $729,750 (the new guidelines for first time buyer loan programs); 411 of them are two bedrooms or more with one or one and one-half baths; 391 of them are two bedrooms and two baths. If you are not a first-time buyer, there are still many opportunities for continued home ownership: 133 2-bedroom, 2-bath homes priced up to $500,000; 258 2-bedroom, 2-bath homes priced up to $600,000.
Isn’t it a good time to call a Realtor?