Should You Buy Now!?

Should You Buy Now?

Even though the federal tax credits have expired, it is still wiser to buy now than rent. You get a tax write off and build appreciation instead of throwing money away each month. Home prices are so affordable today it is a good time to take advantage of the buyer’s market conditions with low interest rates and an abundance of properties to select from. Buyers can find great deals on distressed short sales, foreclosure auction properties and REO’s (real estate owned), including single-family homes, multi-family dwellings, townhouse, condos and commercial apartment buildings in all areas and price ranges.

If a large down payment is preventing you from buying, you can purchase an owner occupied property (single-family home -4 units) with an FHA loan that only requires a minimum of a 3.5% down payment. However, if you are going for traditional financing or buying non-owner occupied investment property, then you will need at least a 20% -30% down payment and good credit. If you have less than perfect credit, you may want to investigate seller financing or a rent to own program.

So the first decision you need to make is what type of property you want to buy and how you intend on using it. Intended uses including:

· Residing in the property
· Renting it out
· Holding on to it
· Flipping it
· Lease optioning

Be sure to line up your financing right away so you are ready to make an offer when you find the right opportunity.

Timing is everything in buying and selling real estate, and right now is a great time to buy, especially foreclosure real estate. Foreclosures are sold at discounted prices, and you get a property with built in equity. One thing for certain is real estate appreciates over time. With affordable prices, all time low interest rates and abundant inventory, there is no reason not to buy.

Travis Broadwater
Broadwater Properties