Good News for
Fall Homebuyers
By Angela Baca
Photo: © Flashon Studio / Dreamstime
 In fall 2008, caution among homebuilders and mortgage lenders alike should not shake your faith in the housing market's recovery. Especially for people who lost their homes, it will take time to convince some Americans that things are looking up. Prospective homebuyers are still asking if the real estate market has finished falling.
Are you looking forward to the real estate upswing because you want to buy a home?
Keep in mind that the real estate market fluctuates nationwide and locally. Just like the unemployment rate goes up and down, there are significant variations in both markets. Because supply and demand governs each market, you need to ask good questions. Here are some great questions to ask your real estate agent:
- How many existing homes are currently for sale?
- How many new homes are vacant and waiting for sale?
- How many new and resale homes were sold last month?
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- How many buyers are looking for homes?
- Is it more affordable to buy a resale or a spec home or to contract with a builder for a new home?
Speaking with your real estate agent will help you to answer these questions. Your agent will consult the Multiple Listing Service (MLS) in the local market for the information you seek. Whether you use an agent to buy or sell, this information will help you make the right decision.
Now is a good time to buy before prices climb on the upswing. The President of the National Association of Realtors, Richard F. Gaylord, recommends, "Buyers who've been on the sidelines should take a closer look at what's available to them now in terms of financing and incentives. Given some of the inventory on the market, we also strongly encourage buyers to get a professional home inspection."
If you buy a home now, you will benefit from the federal housing stimulus and the buyer's market condition. You can get a great deal, or essentially more house for less money.
Not ready yet? Don't miss the opportunity to take advantage of low interest rates and reasonable home prices. Next year's housing market may present an entirely different picture. Will you be able to afford the same home next year? If sale prices rise significantly, you might be priced out of the house you really want. |
