What so you mean when you say "Sorry but all indicators are not that dire. " Do you have any data to back it up? or you are singing the same ole song buy now nuy now!
You are accusing the poster of looking at a crrystal ball but you turn around and do the same!
I personally would prefer to buy a home in an uptrend rather than a downtrend which we have now. I cant describe the feeling when you find out tha tyour house lost 10% of its value before you even move in. So my suggesting is to keep an open eye on the market and see where things are headed. Also please do read the news on the mortgage industry as there appears to be a flood of homes will hit the market.
No one can predict the bottom nor the top.
Check out the latest on Fannie May and Freddie Mac the largest lenders in the US and draw your own conclusions. With infalation, cost of goodsont he rise we will see a steep correction.
take care and enjoy the home buying process
much higher, there is no telling what a year may bring. Try and continue on a month to month basis
if possible or look for a short term scenario, allowing you extra time so as to avoid making a hasty
decision. Check out these down payment assistance non-profit organizations( AmeriDream and Nehemiah ) and tell us how everything works out. Also check with your local gov't, many have assistance programs, especially first time buyers programs.
Make sure you check all the foreclosures and Bank owned properties in many areas there are substantial
values for those that do their research.
Do you have approx 3% in your IRA account or can some one gift you 3% of the sales price?
You are right, itâ€™s an excellent opportunity to buy Real Estate. First time home buyers and investors have been waiting for!
If you like feel free to call me I have an expertise of both the Loan/ Finance and Real Estate
My cell 510-381-2105 or
I would suggest hooking up with a loan officer to see if you qualify for an FHA loan. You can now utilize the Nehemiah downpayment assistance program with FHA. Nehemia provides for a 6% gift that buyer's can use for the 3% required FHA downpayment, putting the rest towards closing costs. Right now is a great time to buy. I advise buyers against trying to time the market. Start looking for a property that works for you.... if you wait for the bottom you will miss it and you are also likely to miss out on the property that's perfect for you.
If you would like more information on the FHA loan program used in combination with the Nehemia program, I would be delighted to put you in direct contact with the lender that I refer all of my clients to. She is certified in these programs and extremely customer service oriented.
I can also refer you to an excellent and reputable agent in your area. Having competent and forward thinking representation is especially crucial in this market.
Best of luck!!
To avoid making the mistake that some made in past few years don't over extend your finances so that you'll be buried. Also don't assume that you will have significant equity growth in the next few years. If on the other hand you have steady employement with good prospects for stability and want to take advantage of the tax benefits and other benefits of property ownership now is a good time to buy.
In many of the hardest hit areas like Sacramento and Merced investors are buying multiple properties. Pressure in the future will come from employment figures and the price of commutting. Property closer to employment opportunities will be made more valuable.
Each situation is different and you would do well to talk to your accountant and find out what the tax consequences would be for you.
I hope that doesn't come off as too Pollyannaish for some of the negative nabobs that are posting.
Talk to a financial advisor or a CPA and get the facts about the friends offer. Look closely to see that you can afford the payments well into the future and are not banking on anything that you can't control. If you both lost your job or decided to move for a better job it cost about 10% of the sale price to sell. With no equity you'd be stuck.
Jg, you are 12-16 months form seeing bottom in Danville area. If you have the means to save up a 20% down, do so! You will be happy you did!
Where did you buy your crystal ball?
Can you use it to predict what is the next pitch too?
Sorry but all indicators are not that dire. Some forces are still needing to be seen which direction the economy will take but it isn't that clear that you can say don't buy for a year!
Hope that helps.
Get off that rent treadmill and grab your piece of the pie, when you look at your net worth after one year of home ownership, you won't regret it! Best of luck to you in your home search!
The hardcopy version had a chart that shows what one's payments would be to wait while prices of homes drop further (and the interest rates go up, too), or to take the plunge.
I have three clients who are in the same position as you are. All of them want to take advantage of getting in the market while the choices are many, and the market favors the buyer. They're tired of moving (one client said the house they're renting is being sold so they have to move; another will need a tax break). So they're eager to move forward on buying a home.
Your friend, the lender, will have access to so many loan programs. Ask him about the Nehemiah Program and see if this can apply to you since you have no money for a downpayment. Here's a link to the guidelines of the program. http://www.getdownpayment.com/pdfs/guidelines.pdf