Saturday, November 15, 2008

Chicago Real Estate: Why Buy Now?

Timing Issues:

Seller’s that have been on the market for awhile are very motivated to make a deal and do not want to be on the market over the winter months.

Hard to predict the bottom of the market but worst may have passed ant the government is actively trying to revive the housing market and at some point they will succeed.

Rising dollar and dropping oil could indicate ending of current down cycle for housing.

A lower purchase price for the buyer who is waiting for further deterioration in value would be lost to increased mortgage rates.

Fewer buyers in the market make seller’s more flexible.

You must be actively “in the market” in order to take advantage of good deals and to be able to spot them.

Looming inflation will bring higher real estate prices.

Buyer’s have a greater selection of properties with current inventory levels and have to make fewer compromises to get what they want in this environment.

If you are renting, you are losing your homeowners tax break.

Tighter qualifications make a good buyer a precious commodity to would be sellers and therefore they command a stronger negotiating position.

Many predatory loan products have been taken away and consumers should have more confidence about not being duped into bad loan scenarios.

Rates are historically lower in the fall than in the spring.

Fed could increase rates to combat inflation.

And if you buy now you are smart. Real estate is still a safe investment

(suggested by Rubloff agents)