With all the national news about the real estate market it is hard to know the actual condition of the real estate market. There are several things to keep in mind if you are thinking about buying a house right now. First, interest rates fell to 6.2% in 2007 from 6.8% in August 2006. This is GOOD NEWS if you are buying!
The correction that the news media is covering has been greatly misunderstood. The correction is in sales voume and price appreciation. Volume has slowed greatly because there is so much supply on the market - this is also GOOD NEWS is you are buying!
If you are hesitating because of the 1% price drop expected in 2007, remember that that drop comes after a 5-year spurt where home prices increased by about 53% nationally.
If you thinking about buying a home anytime soon, remember to consider pricing trends, not prices on a given day. Keep in mind that in many markets, prices have steadied and so has inventory. This is a home buying opportunity - and one that is likely to pass soon.
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