Wednesday, October 10, 2007

Is it a (first-time) buyer’s market?

There's been a lot written around the web about buyers sitting on the sidelines waiting for the "bottom" of the market. There's also been some writings about today's first-time buyers being more investment-savvy then prior generations. I think these are both true statements.

However, there are more things to consider when looking at these statements.

1. Can you really time the market? There are THOUSANDS of investors who tried to time the top of the market in 2005. How do I know that? Because many of them are stuck between a bankruptcy rock and a foreclosure hard place right now. It's not going to be any easier timing the exact bottom of the market.

2. Over the long term, Phoenix real estate prices will rise, rental rates will rise, and the payment on a 30-year fixed rate mortgage will stay the same. Find a great house in a great neighborhood, buy it at a great price, and get a great mortgage rate, then sit back and enjoy being a homeowner. You'll come to enjoy April 15th each year, too, as you see the tax write-offs from the property taxes and mortgage interest you've paid.

3. Owning a home is in many ways an emotional experience that is difficult to explain. There's something uniquely satisfying / gratifying about coming home from work, when you actually come home from work! It's your kitchen, your garage, and your backyard with a garden and a barbeque. Yours to decorate, improve, live in, and enjoy for years to come.

Your "buy when the time is right for you" realtor,

Chris Butterworth

[tags] buyer's market, first-time homebuyers, fletcher heights [/tags]