'The Donald' Breaks Down the Market

Aug. 12, 2008 — -- The nation's economic downturn may have strangled the real estate market, but entrepreneur Donald Trump said the upside is that there's never been a better time for wannabe home owners.

"'If you want to buy a house there's probably never been a better time," the real estate mogul said on "Good Morning America" today when he dropped by to give his advice on how to handle the soft market.

Trump, who has made millions navigating the market during his extensive career, said people seeking to sell their homes should hold off if they're able to do so.

"It's a tough market. It's a horrible market," he said. But "this is the absolute time to buy. It's not the time to sell."

"The fact is that most of the country is very, very weak," Trump said, adding that buyers should use that to their advantage.

According to Trump, the golden real estate rule of location, location, location still applies, which is why he suggested some consumers may want to consider moving to a city with a booming real estate market.

"You're just going to be better off," Trump said, while acknowledging, "I know not everybody can do it."

But he said leaving what he called "disaster cities" — regions that he said haven't seen much growth in several decades — could be beneficial in the long run.

But for those who find themselves in a must-sell position, the man known as "The Donald" said sellers should "make sure the house is in great condition."

It could mean more money for you home, he said.

Fighting Foreclosure

For those home owners who find themselves in danger of losing their homes, Trump said all hope isn't lost — even if a bank has given a foreclosure notice.

That's because banks would actually rather not have to repossess a home and have to sell it in this market already flooded with homes for sale.

"The banks want you in that house," he said. "Call your bank. Work out a deal."

He said in many cases friendly bankers are eager to work with trouble home owners to find a financial option viable for both parties and added there is a way people should approach the institutions.

"Above all else be nice. Don't go in too aggressively," Trump said.

For consumers dealing with the not-so nice bankers, "you may have really bad banker in which case you get a really good lawyer and sue them," he said.