With home prices generally down, and interest rates for mortgages at all time LOWS, this is a great time to buy with several caveats....First, your time line should be 5 years or more before you may wish to sell this new home. Secondly, keep your mortgage payment at or below the prevailing rental properties for the area of interest that keeps you close to your family. Do not use this purchase as an investment, per se, or expect to generate a profit from the sale of this new home for 5 years at a minimum.
I bought a home at the top of the RE Bubble back in 89 or 90, where the market promptly shrunk over 35% on my home. By 95, I was back to the value I purchased the home. By 2006, the house had tripled. Now, is it worth just over twice what I paid. I was VERY disappointed from 90-95, as you might imagine. BUT, I needed a roof over my head, my mortgage was LOWER than comparable rent, so home prices didn't really effect me save my mental anguish. Then, of course, the market came back in a HUGE way. And even though mentally I was bummed about the prices of homes and my "loss" on paper, I kept paying my mortgage down, and eventually, I was made whole.
I predict that if you have this same outlook, sooner of later, the market will come back a bit, and you should be fine. One thing for sure most experts say is mortgage rates will probably never be this low again!
BESTwishes, I hope these comments helped! Jim Ryan, Home Savings of America. 703 591 5626 ext 419.
By the way, I attended Washingtonville and John S Burke High Schools and my Dad attended NYMA.