Buying in this Market? Now is the Time!!!
Now is the Time to buy!
The housing market is just that, a market. Like the stock market there are highs and lows and to make money in the “market” you must buy low and sell high. I know that currently, buyers are scared to buy, scared to spend money and scared about their future employment. My advice; in this economy, or even in a great economy is to buy below your means. Most people that get approved for a loan, home loan, car loan etc, want to spend close to what they are approved for. This is the “keeping up with the Jones” mentality. When I purchased my current home, only a few short months ago, I took the average rent and I looked at homes that the monthly mortgage would be equal to or below the current rentals. Example, where I live in Corpus Christi, a 3 bedroom/2 bath rents for $1150. I bought a 120K 3 bedroom/2 bath and my monthly payments are $990 that includes mortgage, taxes, and insurance. So if I lose my job I have to live somewhere and it is below what rent is in the area.
The advantage to buying a home in today’s market is the current interest rate and the reduction in home prices. Normally, what happens when home prices increases, the home loan interest rates drops. However, when interest rates increases when home prices drops. Currently home prices are dropping and the interest rates remain low. During the 80’s recession the home interest rates was in the high teens almost in the 20’s. So in my opinion in this economy take advantage of the situation and buy low at a low rate.
Date: Monday, February, 23rd 2009 @ 06:30:19 PM Views: 168
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