Beyond the usual “how’s the real estate market?” …I’m being asked more real estate related questions than ever. Is this a good time to buy? How do you buy a foreclosure? Is it hard to get a mortgage? Are homes selling … How long would it take to sell my home?
There is curiosity, confusion, and myth-information.
Myth-Understanding #1: It is not a good time to buy real estate.
It’s no doubt that even our Seattle Redmond real estate market remains sluggish. Many home sellers are frustrated as home prices have fallen and many homes continue to sit waiting for a buyer. Home foreclosures and short-sales have increased. And home buyers don’t know whether the timing is right to buy. Are home values going to continue to go down? Has the market hit bottom? Can they even get a loan?
Truth: Now is a great opportunity!
For a buyer, this is a great opportunity and, yes, there are still many loan products available. As of today (02/13/09), fixed 30yr interest rates are below 5 ½%. There are also many First Time Homebuyer products available. And the Housing Stimulus Bill provides a First-time Home Buyer credit. These facts, along with lower prices and the tax advantages, even if the market hasn’t hit bottom, a buyer could loose money by waiting to purchase.
But the main point in home ownership is not even the economics. While it is a fact that buying and holding real estate has been a great wealth generator, there is still ‘no place like home.’ Home is where families create memories. Home is our sanctuary … where we find our calm, our love.
There are many personal rewards outside of economics, and including economics, that prove … homeownership works!