Wednesday, December 3, 2008

Its the Best Time to Buy New Home

Everyone has a desire to have his/her own home. But when it’s come to buying a home then home buyers always become very curious to know that when is the best time to put forward their step towards buying a home or is this the best time to grab a home. Well if I need to answer this question then I would say that the decision of buying a home should be made after reviewing the market very carefully. Like you need to know the trend of home prices, whether it is upward or downward, what will be the mortgage rate, will you be able to afford the monthly mortgage payments or not etc.....

But if I answer the question honestly depending upon the present scenario then for home buying the right time is in its way. Because the US housing market is having a declining trend and home prices are falling down like anything. However if you want then you can wait till the home price touches its lowest point or you can wait for the home price to fall a little bit more. But one more thing is there that you have to look into that is the rate of mortgage. Some buyers are not getting interested because of the high interest rates. So if you are okay with the current mortgage rate then the finest time to buy a home is knocking at your door. And in case of buyers who are worried about the high interest rates, a buy down might be helpful to work out their budget.

In other hand for home sellers who also wish to buy or move to a luxurious home than the present one they are having, the right time to sell is now. Because at present condition the more they wait, the lesser the home price they might get. So try and sell your property as early as possible and then wait for the price of your new home to fall a bit more. Or sellers who have their own alternative place to stay, they can go for selling their property right now and wait for sometime before buying a new one. However if you do both selling and buying at the same time then also you won’t be in loss. Because the diminution in price while purchasing will help you to recover the loss you already had while selling.

So the good strategy for sellers who also want to buy a new and much expensive home is to sell now doesn’t matter if they have to bear some loss, because they will have a fine chance to recuperate the loss they had while selling through the purchase of their new home.

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