Why it’s smart to buy a new home now
Real Estate
Working with home buyers every day, I get asked the same question over and over again: Is it smart to buy a new home right now? One couple was so perplexed by the current economy that they were ready to put buying their dream home on hold until the economy fully recovered. This couple both had good jobs, great credit scores and little debt. It took me less than a minute to answer their question: Yes, if you are in a position to buy a new home, buy it now. The truth is, there may never be a better time than this to buy a new home. All the real estate “stars” are aligned in the buyer’s favor:
- Low interest rates
- Sellers willing to take a lower price
- An $ 8,000 government tax credit for first time homebuyers
Best of all, the evidence is there that the real estate market has “bottomed out” and prices are starting to rise. Standing inventory is beginning to sell faster. In Howard County for instance, homes are selling in days or weeks, instead of months and months. It is also good to remember what has happened in past real estate slumps. Once sales and prices begin to rise again, pent up buyer demand takes over and the pendulum quickly swings back to a seller’s market. My advice: buy now when you can get the best deal on a home with record low interest rates as well.
