Marcus Ricks

Thanks to everyone for their advice on my question.

I agree that interest rates will (and should) go up in the future and that this will reduce my purchasing power. The most frustrating issue in Lake Forest, in my view, is what closely coincides with Vicky Lloyd's comment. The inventory of quality single-family homes in Lake Forest is very low, and home sale prices are still very high. Sellers are waiting. It's not a buyers market in terms of supply.
Also, you all mention the fact that I need to cross-check again with the lender frequently to ensure that the loan program is still on and that rates are actual and up-to-date. I believe the very fact that I have to do that as a potential buyer (where buyers never had to do that before with respect to loan programs disappearing suddenly) is only going to create added downward pressure on prices. I could be wrong. What I have going for me is a lot of cash for a down payment. I'm just scared to death that this cash is not paying down value of the home I want to buy, instead any downpayment I make is just paying down an overinflated value that is not real.

This is a tough market. I've researched the homes available for sale in Lake Forest. I need something 4 beds (at least), 2.5 baths and more than 2000 sq feet. All I see -and I apologize if I offend anyone here - is trash. I'm very frustrated to the point where I'm thinking: Nice area, but can't afford to have a family and live here.

Thanks again for your insights. - Thu Aug 7 2008, 15:30