Prices continue to plummet, good for investors?

With housing prices continuing to drop dramatically, good or bad all depends on your perspective of the subject. In a recent news article posted by South Florida's Local 10 home owners are "dropping asking price by $100,000 in the hopes of attracting a buyer". This may not sound so good for homeowners, but what does this mean for investors? If you thought discounts, your on the right track. Veteran investors already understand the scenario and are taking full advantage of it through strategies such as short sales and wholesaling. When electronics go on sale, do we not scramble over people just to buy something? So why not buy something that will even increase in value over time. It's everywhere that this market is a buyers market, just check out what Dan Mcginn from news week magazine said in a recent interview on American Public Media's marketplace:

"Oh, I think it's been a buyer's market for quite some time. Inventories are great. Mortgage rates are below 6 percent. If you don't have to sell a house, this is a good time to buy one. The problem is, many of us, if we want to buy a new house, we have to sell our old one and that's not so easy."

If your sitting on a lemon its going to be tough, but if your a new investor looking to get into the market, the time is now. Right now the market is going through a "cleaning" process wiping out all the inflated prices from the big bubble experience previously. In the article from Local 10 Deerfield Beach Analyst Jack McCabe stated, "You've got a situation where prices have to come down so people can afford homes, and that's where we're at. We're going through this correction cycle. It's a very healthy thing."

What I suggest for those looking to venture into real estate is to get educated, plug into a community that can help you, and take action. More millionaires will be made from this plunge than ever before, what position do you want to be in when the market rises again?