View Single Post
Old 11-06-2006, 08:34 PM   #20
Resident 2B
Senior Member
 
Resident 2B's Avatar
 
Join Date: Apr 2004
Location: North Shore, MA
Posts: 1,357
Thanks: 994
Thanked 313 Times in 163 Posts
Default Baby Boomers

Tom C,

Sounds good to me.

I believe there is some reality to what you have proposed. However, on the flip side, when economies go down, the second home is one of the first things to go.

If the economy stays strong, I believe the baby boomers will have some positive impact on real estate prices in the region in the next five or more years.

It is also believed that these boomers will be looking for warmer climates, but not hot climates. We lose on that variable.

It is all one big balancing act between so many factors. I do not think it will be as bad as the last drawback, but time will tell. Long-term, lakes region property should be a good place to put your money, as long as you can cover most of the purchase cost without going to the bank. If you have a 80% mortgage at 6% interest and you are also paying high property taxes, the property would have to go up 10% each year for you to make anything. The high property taxes are a negative factor in the market when you try to sell.

That said, there are very few, if any, more beatiful places on the planet than the area around our lake. That is why we bought here and intend to stay here.

Good luck!

R2B
Resident 2B is offline   Reply With Quote