Should I Wait to Buy a House in Dilworth?
A cozy Colonial is on the market (3bed/2.5bath/1600/ft) for $349,000-
sellers will have to bring money to sell. Doesn’t this sound like a good time to buy?
You may have asked yourself, or heard friends chatting, is now a good time to buy a home? The bigger question often is: Are home prices going to continue to fall? followed by I think I’ll wait.
Take a look at the following reasons on why NOW looks like a good time to buy in Dilworth or any other area, for that matter: 3.) Home prices have continued to drop; sellers are becoming more realistic about the value of their homes. According to Zillow over 27% of the homes sold in September were sold at a loss.1. 30-YR and 15-YR fixed rates have come off their lowest point and have begun to rise; currently up .250-.375% off their lows. 2.) The new NC purchase contract (which goes into effect on 1/1/11) will require tighter time lines and due diligence dollars to purchase. After 1/1/11, buyers will now have to come up with money for two deposits: Earnest Money and Due Diligence. The need for buyers to be more proactive in getting loan approval will go up significantly after December 31st so will overall stress levels.
End of the year- when other buyers want to stay in next to the warm fireplace- is a great time to buy. The buyer pool is depleted (holiday’s, cold weather, etc) and sellers know that. They are anxious and hopeful that someone, anyone! will come see their home…and buy it! Bidding wars and multiple offers are far less likely in the “off” season.
4. It is very difficult to predict an absolute bottom; however, we are getting very near. Any small incremental price savings can be wiped away if interest rates continue to rise. According to the National Association of Home Builders a rise in interest rates of .25% will price 7,621 borrowers out of the market in the Charlotte MSA (BTW: rates were over 6%in 2005). So today as you think about buying (or selling!) and you’re thinking of waiting,ask all the questions above and consider getting off the fence; the affordability factor and hassle factor may make the decision to get down off the fence easier.
If you have questions about any of the above information, the team over at Cunningham & Associates do a wonderful job. Todd Croy & Deanna Valeo are two stellar lenders who know the patterns the market is currently making. It may be worth a 15 minute call to see how close you can be to buying the best investment you’ve ever made.
Your family tree will thank you for making the investment now…
(If you love the pictures you see, shoot me an email and I’ll schedule a tour of this home that is currently on the market…it is one of the best renovations I’ve seen in a long time)…