It's a given that Southeast Florida is - and remains - a desirable global destination for living. Opportunities abound for purchasers of primary and second residences. And, as baby boomers from out of state look to retire, many will be setting their sights on this wonderful geographic location.

It's also a given that if you buy residential real estate and hold it over time, it's likely to appreciate.

Veterans of the residential real estate industry know that the market is cyclical and the housing boom we experienced in this country during the first five years of the new millennium could not have lasted forever.

As president/owner of the Adler Network, a public relations/marketing agency that I established in South Florida in 1978, I have observed the ups and downs of this market. What goes up must come down, and what goes down must come up. I say this because we have represented a broad range of clients during our 29 years in business in this market. Among them are residential developers, home builders, brokers and Realtors.

During the real estate heydays of the early 2000s, the demand for housing skyrocketed. There were bidding wars and homes sold immediately. Sellers obtained hugely inflated prices for their homes. But could that have continued indefinitely? I don't think so.

Many who signed purchase agreements and then "flipped" made out like bandits, until they were unable to flip and had to come up with funds to close on their units. Many couldn't do so - and walked away, losing large deposits and providing inventory to sit on the market unsold.

What's more, lenders were eager and able to loan money for new and existing homes, and adjustable mortgages and other creative financing vehicles have led to foreclosures, making even more inventory available.

There are many reasons why the market has changed. Nevertheless, the principle of supply and demand continues. The high demand that was felt years ago came to a halt.

However, even in the current downturn, I believe that real estate continues to be a sound investment, if one holds onto it and isn't of the flipping mindset. The return over time can be very favorable. Furthermore, a home is something that is tangible that can truly be enjoyed. So there is the immediate gratification.

Interest rates are still low even when they inch upward. I, personally, can recall when rates that were nearly twice what they are today.

In addition, because the market is undergoing a correction, many sellers are pricing their homes much more realistically in order to attract buyers. And, many home builders are offering terrific incentives, enabling buyers of new homes and condos to get more bang for their bucks.

So, in this observer's opinion, real estate still rocks. It's quite possible that there has never been a better time to buy than now.

Maxine Adler

President

The Adler Network