Look below to see what foreclosures look like near you. If there are a lot that suggests waiting could pay off. If none are there who knows. Unemployment is still bad. As long as people have no jobs real estate is likely to drop more and certainly will not recover.
Your posting tells me that you are an informed consumer; great! I agree with the previous responses; but. there are a few other thoughts you might consider. In some areas, like Troy, great deals are hard to come by; while in other areas supply is more plentiful (refer to my second paragraph below.) Also, where are you financially; would an unexpected interest rate increase push you out of your current affordability range? Because you are probably trading up, the possible loss on the Warren home will most likely be more than offset by the deal realized on the Troy home. But if you can also handle a rental, the Warren home would make a good investment property for now.
I would strongly recommend that you buy in Troy soon, based on the recent stats. Recently published year-to-year stats for Troy and Warren are as follows:
# of listings: Warren - up 2.79% / Troy - up 10.91%
# of sales: Warren - down 11.90% / Troy - up 70.59%
Sales volume: Warren - down 17.28% / Troy - up 68.83%
Median Sales Price: Warren - down 27.74% / Troy - down only 3.96%
The above shows a marginal increase in Troy inventory, but a very large increase in demand. This environment will drive Troy home prices up; and we will probably soon see that -3.96% become a positive number,
I would be more than pleased to help you manage your project. Please don't hesitate to call or text me on my cell at (313) 516-8822. I will look forward to working with you soon. Thanks.
Real Estate Guy
You ask some good questions. First of all I can say that now is a great time to buy, will it be in 6 months? Yes it is true that the tax credits are expiring, more foreclosures are expected to be released, I haven't heard anything about extending the tax credit. Home prices are expected to stabilize this year so my advice would be to purchase if you have the buying power, then you can sell after. You would qualify for the tax credit and get a great deal on a home. I would be happy to assist you with this process. Feel free to contact us about your needs.
Keller Williams Realty
Commerce Market Center
(248 ) 980-4406