If you are in the market to buy a home of your own, you need to ask yourself one question: WHY?
It seems like a simple enough questionÂ yet it is not.Â Many buyers are on the fence of indecision hoping to buy at the optimum time.
What if your purchase is more about improving the quality of life for you and your family? Or moving into a school district where your childâ€™s talents will be maximized? Or being closer to friends and family? There is a cost to delaying any of these decisions.
We realize everyone wants to make a sound financial decision no matter the actual reason for moving. Delaying in a hope to â€˜timeâ€™ the market might not make sense however.Â Forbes.comÂ addressed this issue in an article by John E. Girouard last week:
â€œTrying to time the housing bottom is as much folly as trying to time stocks or any other investment vehicle. In fact, itâ€™s greater folly because if housing prices do fall further, itâ€™s likely to be because mortgage rates are rising, which would mean that over the long term that slightly lower price you may have paid could end up costing more in carrying costs than you saved.â€Â
He went on to say:
â€œMy answer to those who ask whether nowâ€™s the time to buy a house is that the American Dream is and always was alive and well. It has nothing to do with the direction of housing prices but everything to do with your financial situation, income stability, ability to shoulder the costs, and if the home you have your eye on is your version of the American Dreamâ€”a home you love that you hope to live in for an extended period.â€
Donâ€™t make buying a home solely a financial decision. Is the real reason you want your own home more important than money? Only you know the answer.
Courtesy of The KCM Blog