Was That Today?

Ok…Do you buy now because rates are low?  Quite honestly, they’re so low it is nuts!  Do you buy now because home values are at a twenty+ year low?  If you are thinking you want to buy low and sell high … let me know how that works out for ya!

Boats have sailed away without me many times before, and I’m no worse for the wear. In 20/20 hindsight, I do wish I had gotten on a couple of them.  In the 80’s the word “Condo” was like a disease.  I didn’t want to list them, sell them, see them or buy them!  Unfortunately, that boat sailed away without me …. I should have bought all the “Condos” I could find. There were many I could have purchased for $7,500.00!!  Knowing what I know now, I should have been on that boat; but no, I thought it was safer on dry land and found myself left on the dock. 

My son just bought a house and has elected not to sell his current residence … he and his wife want to buy low, but do not want to sell low, so they have elected to rent their current house since the rental market is strong, allowing them to take advantage of buying low today. They just locked in an FHA loan at 4.25% and only had to put 2.5% down (the seller/bank is paying up to 1% of their closing costs!). That is one, and very creative way, to skin the cat!

Let’s face it, we all have to live somewhere, and odds are we are going to have to pay money to do so!  (Haven’t figured out how to avoid that one.)  So, if you want to be in the fortunate group of those who bought low, when rates were at a 50-year low, and had the opportunity to pay 40% to 60% less than replacement cost, now is the time.

But, let’s not buy just because there is a “SALE”.  My wife does that all the time!!  (Sorry honey, I’m sure you aren’t alone!)  In addition to being a major investment, Real Estate has always had emotion attached - and still does.  If you’re thinking of buying, now is the time to act. 

Don’t miss your boat!

-DWS