Buying property is not a good investment?? Hmmm . . .
Look, Gina . . . buying ANYTHING is a "caveat emptor" proposition. I bought a pack a gum last week since I saw an Orbit commercial. WORST tasting gum I had ever had. Maybe someone else likes the taste, but for me . . . ICKY!!
Reports are generalized. So if you want to apply the index for what is going on, that's fine. But, the index was designed for other users -- institutional, etc. who deal with real estate on a much larger (bulk) volume. A single home buyer wouldn't probably not be as affected as institutional investors by the report. Real estate is localized, and it might even be on a home-by-home basis. What ANY seller will want to net (be it a banked owned, owner occupied) is the basis.
As far as home buying is concerned, would you want to pay the mortgage . . . or the rent?
Real estate, if bought for the right reasons, will be a good investment. And, the tax write offs are helpful to some people. And with the $8000 tax credit (which is a limited time offer) it might be a good time.
Without knowing your situation, it would be hard to generalize. Perhaps renting is a better option for you at this time. But buying, IMHO and NOT because I'm a real estate agent, is a better option then renting. And in that regard, being a home owner is a good investment!
" . . . a house is never a good investment" what tripe!
I do agree that you will need to follow interest rates. When they start to creep up, it will add to the monthly PITI.
Please understand that without knowing your situation, it would be hard pressed for any professional to ascertain if buying a home would be a smart move/investment.
If you wanted to do a simple "rent vs. buyer" analysis, there's a good program I can plug in your numbers for you. No obligation . . . ;-)
Hope that helps.
Carla Muss-Jacobs, Broker/Owner
EBA Portland, LLC
Exclusive Buyers' Agency
Assisting Buyers in Metro Portland since 1999