Wednesday, February 12, 2014

Buying a Home: Should You Do it Now or Later?

To Buy or to Wait?

If there is a more important question out there in 2014 as relates to
real estate, I don't know what it is.  We know distressed properties are down, interest rates are rising and home prices are strengthening.

Yet the question that continues to rage is "Should I buy today??"
This question implies the buy or wait dilemma.  As a home owner and a Realtor, I do not see the validity of the question.  As I tell my home owners that are listing their home to move up or move down, there isn't a better time to buy or sell real estate.

Now I won't debate that that interest rates were lower as were home prices in 2011 and 2012.  But do you want to return to a market where home sellers can't sell and home buyers were afraid to buy for fear the home prices hadn't hit bottom yet.

The fear(that all important emotion) now is that home prices have peaked and will slide.   Other than the typical markets like California and Las Vegas that climb rapidly and fall big time that have risen significantly in past 24 months, most markets, including the local Hampton Roads area has had only modest growth(4-6%).   Thus, markets like Hampton Roads are expected to is approximately 4% through 2018.

Though only the very brave would try to guess where interest rates will be in 2018, it is pretty evident that we have a better chance of moving closer to the historical average 7% rates than moving toward historically low 3.5% rates. 

In summary, with home prices and interest rates both poised to move up, would it not be the smartest financial move for you to buy a new home....even if you must sell one to make it happen??? 

I sincerely believe the answer is "YES"

Have questions about your situation, call me at 757 580-6546 or email me:

Buying a Home: Should You Do it Now or Later?
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