Hi,
In one of my recent posts, I got a question from anonymous. Here it is:
Anonymous said...
Question is: Where do you think the market is going? Is there still enough inventory to get a decent deal on a house in the "TheBayArea". Or should I continue to wait to buy? AMA
February 1, 2010 9:03 AM
I was about to reply within the comments section but I thought this would be a good opportunity to address a question that I am sure many are asking.
My response:
After speaking with others in and out of the office, it seems the market is holding pretty steady right now.
That being said, I don't foresee a huge upswing in the market but I definitely don't see a big drop off either. I think it will hold steady for the remainder of the year. Once we have a more accurate picture at that point we can of course make a whole new guess as to where it is going.
Real Estate agents are like Economists. We have lots of theories and we are always "supposing."
To answer your last question, yes there is still enough inventory to get a decent deal. The prices are remaining steady, which is good...it's just that there are multiple offers, which makes it a little tougher. The good thing though is that even if you do outbid someone in this market, you are still getting a way better deal than what you would have gotten a few years ago. Also, and most important, you have to pay close attention to the houses. You wait a day to make an offer and it could already be gone. That's the part that a lot of people have trouble with. They are spending hundreds of thousands of dollars and they don't want to be rushed.
If you are in it for the long haul (at least 5 years) it is still a good time to buy a house.
Conor
2 comments:
Hey Conor,
Good information in your latest post. I was also wondering about mortgage rates. Will they stay low for a while or are they expected to increase in the near future?
Mortgage rates are tricky. They are so stinking low right now (right below 5%)that everyone is worried they won't stay there for that long.
However, after working with different mortgage brokers and lenders, many are convinved that the fed will keep them low in order to help the economy recover. Unfortunately I can't give you a timetable as to when they will start to increase...if only it could be so simple.
The only thing I can say (and will keep saying) is strike while the iron is hot. These are low rates right now and people need to take advantage of them. As recently as December there were rates as low as 4.71.
One last note, if you are buying something as an investment property and won't be living in it, your rates are going to be closer to 5.25-5.50.
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