New home starts are at an all time low. Over the last 4 years, they have been on a steady, sharp decrease, until recently. there has been some good news with housing starts this year, in that they have been on the rise a little. Depending on who you talk to, this is a good thing. There are some good real estate news stories floating around that point to a recovering market and raising home prices. Other news stories will continue to point to dismal real estate news, saying the worst is yet to come.

The reason I’m blogging about this is because this morning I came across a chart that has some bad news about housing starts, and I can’t figure out why our economy is so concerned over home builder house orders.

One of the major reasons we are in a major real estate correction is because the new home builders, built too many homes. Why does wallstreet care if they start building again? We, as a country, are already over built, so why do we want them to build more homes?

Who do you believe?

1. To start most news you read or hear is about 2 months old. Just like investing in stocks, you usually hear about good investments too late, and only see the after effects of what would have happened.
2. Real estate is local. Don’t listen to stories about real estate markets that are across the country. Yes, it’s true, you can buy a home with about $5,000 in Buffalo, NY. How does that have anything to do with you, unless you live there or plan to invest… If the later is the case, please email me so I can talk you out of it.
3. Believe in yourself. Set your criteria, feel your hunches and invest in yourself. There are good deals in all real estate markets that only you will see, based on your criteria.
4. Believe in your support groups. Real estate investing requires support form many different professionals. Real estate agents, mortgage brokers, contractors. They are there to help you. Go to them for advice. A good referral will give good advice, and know when to shut up when they don’t  want to guide you down the wrong path.