Montana 1031 Exchange The Reason Different Markets Are Required To Protect Wealth
Montana 1031 exchange qualified Intermediary, 1031 Property Exchange,
points out the importance of selling in inflated markets to find increased opportunity
and decrease your risk in other geographic markets.
"Real estate has always been a very localized product and all markets
Nationwide do not go up and down at the same time or speed", says Rusty
Squire, Qualified Intermediary and President of 1031 Property Exchange. He
adds,"Investors will need to begin paying close attention for their profits, especially in highly inflated markets in view of the recent
increases we have seen in interest rates".
"Increasing interest rates always act as a discounting mechanism for the
Value of housing because as prices grow less and less people can afford a specified home", says Squire. He adds,"If distribution remains constant and buyer
demand is falling this really is a recipe for price declines".
"Montana 1031 exchange markets are generally all resort or holiday
oriented and holiday homes would be the first thing to see if the economy hits a
rough patch", says Squire. He adds,"This is why resort markets saw
nearly double the rate of decline that primary home markets did in
2008".
"Real estate markets in Montana, notably Bozeman and Big Sky, are considerably
overheated and there are different geographies across the nation who have seen
much less price appreciation that are poised for prospective profits", says Rusty
Squire, Qualified Intermediary in 1031 Property Exchange. He adds,"Montana 1031 exchange markets are usually over their 2008 peak ahead of the property collapse along with lots of the other markets across the country
aren't".
"Investors Will Need to start thinking about where the biggest generational
Ownership group, the Baby Boomers, are going with their money", says
Squire. He adds,"Resort markets are extremely likely to blow off and lose
incredible value as the aging Baby Boomers liquidate".
"Markets like Arizona nevertheless sit well under their 2008 high costs and
Will benefit from retiring and aging Baby Boomers", says Squire. He Adds,"Colder northern climates will probably be benefactors and may be a
very good time to market in those northern hotel markets like Jackson, Bozeman,
Big Sky, Sun Valley and many others and move that money elsewhere".
"In a lot of instances these big-name resort markets have seen two and three-fold
Increases off of their 2008 lows but where is the huge group of buyers that are
going to push these markets ahead later on", says Squire. He adds,"I really don't see it and investors have to continue being smart about diversifying
their real estate investment dollars geographically to account for where demand
will grow".
"Investors need to attempt to prevent the geographical trap of constantly
Investing in the same communities, generally the communities they live in,
simply since familiarity makes them comfy", says Squire. He adds,"As we saw in 2008, property may lose a great deal of worth in a big rush and
thinking that will never happen again isn't wise and won't protect your
gains".
If you would like help understanding your 1031 exchange options then only
Telephone Rusty Squire, Qualified Intermediary in 406-425-2742.