Real estate is the most powerful investment vehicle that exists. There are three huge benefits afforded to real estate investments that typically don’t occur in other investments: 1) Leverage, 2) Depreciation and, 3) Loan Interest Deduction. These accomplish very powerful results for income sheltering and equity appreciation. The compounding of these produces returns that dwarf stocks and bonds. Running a successful business would be the only way to beat it, but that is accompanied by greater risk and a lot of work.
Most people expected a downturn in Maine’s real estate when the pandemic hit in March. There was a pause as buyers and sellers alike decided to wait until there was a clear direction in the economy. That direction is not yet clear, and remain cloudy for some time. However, real estate prices have held firm, and in some cases, buyers are paying premiums over asking price.