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Which is A Better Value, Renting or Buying?

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  • Description

    Corcoran Group founder Barbara Corcoran weighs in on the state of the housing market.

  • Duration 4:05
  • Date

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There aren't with interest rates and all time high mortgage applications are soaring.

Last week demand for refinancing rose to the highest level in more than three years on top of that.

Purchases also jumped 4% from the week prior is this a good sign that not only is there an appetite for home buying but also willingness for the banks to lend.

Barbara Corcoran founder of the billion dollar real estate firm the Corcoran Group.

Is here to -- and I I have to be a big thunder -- -- I'd -- thank you that kind of presence -- related to hit the -- tell me what do you think is going on on the market right now.

Certainly turned the corner no matter how you look at the market whether it's cheap money that's -- -- below 4%.

You house prices rising an enormous 4% since last -- compared in some areas rising as -- just 25%.

Last year.

Everybody is saying the worst is behind us -- for the first time I believe it.

Yeah where do you see the opportunity -- be seen prices already start to go up or even just volume most most of all the markets have gone up two thirds of them are on the rise only 13 in this flat was still descending by a very little.

You take the hardest hit markets at everyone assumed would never come back up.

The coast of Florida and Las Vegas in Las Vegas alone prices come up 33% year in the reason for this is because of all the investors storming into the markets.

Buying on the cheek and then renting out the houses and when -- -- compare.

Which houses are doing the best achieved in the house and with the appreciation because investors are in that stop that bottom part of that market -- so.

The smartest -- anything to play it means you go into an area where they haven't really seen a rebound yet.

And invest there or are there are some areas that you -- -- our -- bottoming you may be stay away from that.

While -- there is no Smart way to -- -- if you gonna pinpoint the markets at best that absolute best market to buying is.

The one night you're living in if you buy the house -- -- on the right wrong side of the street you know what's going on you know how good schools are.

Anyone who goes in to -- some other person's backyard and starts to be a savvy investor.

Always loses -- -- most of the investors and all of these markets a local buyers and that's what it should be because.

Really know what -- doing.

Is it really hard to get alone -- you still hear people saying that we didn't we hear that lending is increasing -- I don't know anecdotally that that's necessarily explain what hasn't changed is that you needed tremendous credit rating to get a loan today.

The one flying into and still is that banks -- repeatedly having -- -- -- -- -- and under praise the house.

Once the contract is signed so one out of three deals -- falling apart.

Because of fire is shocked at what the house was appraised at and of course the chances -- -- they -- -- re negotiate the deal and very often.

They walk away Jack I want a -- of her Bobby -- your don't have to hell yeah.

I mean here's the -- say who started a business from scratch with a thousand dollars you built these amazing empire you continue to reinvent yourself you're on the hit show.

What they can holding back the small business -- right now what do you think would make business owners more courageous in this economy and -- a lot of people want to -- your front -- let me tell you something there's no lack of courage that they everyone starts -- new business is a courageous -- wouldn't be doing in the first spots they're dreaming out they have passion.

They work like crazy so all of those aren't giving this you know what's holding back to small businesses today.

Lack of funding from the banks what's happening now -- a lot of the banks like chase and -- stepping up and starting -- land.

But they need to have cash flow issues resolved -- every growing business always has more sales -- have the cash coming in.

And so the landing on the part of the banks is that she issued today holding back businesses so what advice would you give to small business owners that are having that problem I would say be very very savvy and what's out there -- that there are grants for example I know I -- having no -- -- -- -- my -- But they had three million dollars in France given -- just given how.

To young people but also to apply for credit lines and now -- a better sentiment towards small business 'cause everybody seems to have woken up that's rating this or awakened if that's -- inflation.

The fact that people really need the funding and beginning to -- most of the big employers in the US the small businesses not at a company now Baxter Bart parking your best thank you so much -- -- -- we appreciate it that was so in.

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