If HE Says It Is Time To Buy a Home, BUY A HOME!

John Paulson“If you don’t own a home, buy one. If you own one home, buy another one. And if you own two homes, buy a third and lend your relatives the money to buy one.”

– John Paulson 9/27/2010

WOW! That’s a powerful statement.

There is no question that John Paulson is a bull when it comes to residential real estate right now. Should we care what Mr. Paulson thinks? Should we listen to him? The answer to both questions is a resounding ‘YES’. Here are several reasons why.

Who is John Paulson?

Paulson is the person who made a fortune betting that the subprime mortgage mess would cause the the real estate market to collapse. He understands how the housing market works and knows when to buy and when to sell. What do others think of Paulson?

According to Forbes John Paulson is:

a multibillionaire hedge fund operator and the investment genius who made a killing going short subprime mortgages a few years ago.

According to the Wall Street Journal Paulson is:

a hedge fund tycoon who made his name, and a fortune, betting against subprime mortgages when no one else even knew what they were.

What did other financial players think of his statement?

The Wall Street Journal agrees with Paulson:

Ignore the critics. The odds have to be on his side…It isn’t just that home prices have fallen a long way. It’s also that, if you can get a mortgage, you are basically taking a reverse bet on the bond market. You could be a long-term borrower at fixed rates, instead of a long-term lender. Right now you can borrow for 30 years at around 4.3%. After the mortgage tax deduction, for some people the net effective interest rate is nearer to 3%. That’s going to prove an awesome deal if we see inflation again.

And Forbes said:

As this is the best time in 50 years to buy homes, Paulson advised his listeners to take 30 year mortgages to buy a home as “your debt and interest payments get locked in at record lows, while the price of your home will rise.”

Are others also saying now is the time to buy?

Just last week, we posted that there is a growing number of people saying that NOW is the time to buy, including:

  • The Wall Street Journal
  • Professor Karl Case, founder of the Case Shiller House Pricing Index
  • The wealthiest families in the country and
  • 70% of everyone else in America

Bottom Line

Thinking of buying a home? Are you taking advice from a friend or family member telling you that now is not the time? It may be time to listen to people who better understand the opportunities that exist in real estate today.

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Albany area home sales summary video for July 2010 from GCAR

GCAR provides this monthly Albany Home Sales summary report video.

Many Albany home buyers took advantage of the tax credits in May, June and July so there are plenty of high value homes in the Albany area going into the fall buying season. Albany home buyers will get the better end of the deal in September and October.

Interest rates are low and there are many quality homes in the Albany MLS.

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The Scott Varley Group Offers Unique Opportunity in Luther Forest

MALTA, N.Y. – Scott Varley, of the Scott Varley Group-RealtyUSA in Saratoga Springs, NY, was recently selected as the sole realtor for Jenna’s Forest, a new residential development within Luther Forest in Malta, NY. Thomas J. Farone and Son, one of the largest and most respected builders in the Capital District, is the exclusive builder for Jenna’s Forest.

Located just a few miles south of Saratoga Springs, Malta is home to the greater Luther Forest and offers a vibrant economy. An up and coming hotspot for homebuyers near and far, the area is a short drive away from several popular upstate New York entertainment venues such as the Saratoga Race Track, Saratoga Lake, Lake George, and more; and is a short distance away from the home of GLOBALFOUNDRIES. [Read the entire release]

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YNN Interviews Scott About Condos

Scott recently had a chance to talk with YNN about the benefits of owning a condo. [View the Video]

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Condo-hotel Project Almost Finished

YNN recently aired a story featuring 38 High Rock [View the video]

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Short Sales Explained

Scott Varley is interviewed for this story on short sales by YNN.  View the complete story

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WNYT Interviews Scott

Scott was featured in a story on the upcoming tax credit deadline.  Watch the full story here.

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Scott’s on the Radio

Who is Scott Varley? Listen and find out!

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Scott Featured on Fox 23 Discussing Available Tax Credits

Scott was recently featured on Fox 23′s InFocus with Walt McClure discussing the local real estate market and available tax credits.  [View the whole segment here]

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Economic Stability Helping to Buoy Real Estate Market

Scott Varley was quoted in a Schenectady Gazette article discussing how greater economic stability is helping the residential real estate market.  Read the full article here.

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