John R. Talbott, previously a Goldman Sachs investment banker, is a bestselling author and economic consultant. When it comes to the housing market he is also a prophet. When housing prices started to skyrocket in 2003, he published The Coming Crash in the Housing Market correctly warning us that a real estate bubble was forming. Then in January 2006, he called the absolute peak of home prices in the US by releasing a new book, Sell Now! The End of the Housing Bubble.
Mr. Talbott, the person who accurately predicted the housing bubble and its bust, now has a new prediction – IT IS THE TIME TO BUY A HOME!
In a recent article, Homes – Buy Now!, Talbott simply explains:
He goes on to explain that his conclusion is based on four different metrics, all of which favor buying today:
§ Home Prices Relative to Peak Prices During the Bubble
§ Home Prices Relative to Construction Costs or Replacement Costs
§ Home Prices Relative to Incomes and Rents§ Home Prices in Real Terms, Not US Dollar Terms
If the person who called the real estate bubble and its bust says now is the time to buy, we believe it is time to buy.