Unless you have been marooned on a desert island for the last 12 months you probably know that the Real Estate market is not so hot these days. Naturally the response of many is to stay out of it. People choose to rent instead of buying. Makes sense right? Well maybe not. Any serious financial advisor will tell you that you buy when prices are low and sell when they are high. This applies to any market, be it the stock market or the housing market. Yet the average person tends to do the opposite. People get caught up in the hype - buying when prices are about to peak and then staying out of the market when the best deals are to be had.
Right now we are in what is called a "buyers market". This means that for the first time in many years buyers are in the driving seat. There are great deals out there and sellers are willing to negotiate like never before. On top of this mortgage rates have again declined to near historic lows. So should you buy now?
Well, not so fast. We recommend that you consult with your financial advisor. Also pay special attention to the market conditions where you are considering buying. Rising rents for example would be a strong signal that prices are about to rebound. Also, review demographic trends - an area experiencing an influx of new residents won't stay depressed for very long. The best advice is as always - buy low and sell high!
This article was submitted by Anthony J. Rigney. Mr. Rigney is the President and owner of First Integrity home loans LLC, a Florida based mortgage broker. For more useful tips please visit our website at the address below.
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