Jan 6, 2010

Thoughts for Buyers in the New Year

Some market analysts believe home prices are going to stabilize by the end of 2009 indicating that it may be time to act for buyers who have been waiting to catch the bottom. In my experience as a realtor, the challenge for many buyers right now is rationalizing how to sell their existing property for less than they might want to and making the leap to try to trade up. The opportunity now is to buy real value. Every situation is unique, but the timing of buying at this low point in the market along with fixing a low mortgage rate and taking advantage of the $8000 home owner's tax credit makes a compelling case for buying in the new year.

Moody's has published a number of notable articles with forecasts that 2010 will begin to show recovery in housing prices, housing starts and also a decline in first mortgage defaults. This chart of Moody's data on USA Today is a great snapshot of some of these key indicators. 

The NY Times ran an article on 12/29/09 referencing the blogging community's concept of "house arrest", the state of being trapped in one's current home ownership and unable to sell because what is owed on the mortgage exceeds what the house could sell for.  If you were considering trading up to another property, one cannot deny that now is the time.    I would be pleased to share comparables and sales in your area to help you make that ever important decision.

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