MARKET & TRENDS
LOCAL MARKET MONITOR
Panning for Gold FINDING HIDDEN MARKET OPPORTUNITIES FOR INVESTING.
by Ingo Winzer
I
nvestors often follow the crowd, and with good reason.
been overlooked. Markets with slow- er growth, where home prices have not recovered from the recession. Here’s a baker’s dozen of mar- kets that most investors aren’t even considering. Note that the local economy is doing fine in all them and home prices have been increasing — which means there’s demand for housing. But see how much home values are still below the income price, more than 20 percent. You have to stay away from the low end in these markets, that’s for specialists only. Buy above (but not
too far above) the average price - and find gold where others have seen only mud. Our Investors Metro Monitor shows you the risks and opportunities in 200 markets across the country, at www.LocalMarketMonitor.com. •
If a real estate market is doing well now, it probably will continue that way for quite some time; that’s why investing in real estate is such a good idea – values almost never fall. But following the crowd has some disadvantages. First, you have to scramble for the best properties – they’re not just lying around in the road. Second, with all the competi- tion, you’ll find prices being bid up; by investors and by homeowners. Instead, it may be best to pan for gold in markets that largely have
IngoWinzer is president of Local Market Monitor, which analyzes conditions in 300 U.S. markets, using such economic data as home values and growth in employment and population. Winzer, who has analyzed
real estate markets for more than 20 years, was a founder and executive vice president of First Research, an industry research company that was acquired by Dun & Bradstreet in March 2007. He is a graduate of MIT and holds an MBA in finance from Boston Univer- sity. Winzer resides in Cambridge, Mass.
78 | think realty housing news report :: june / july 2019
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