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Great Time to Shop for a home? Really? According to Mortgage News Daily it is....

By
Mortgage and Lending with Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 NMLS ID# 158606

Depending on the data you are looking at, national average home prices are down significantly. On average, this trend will continue, but consider three things. First, the hardest-hit markets drag down the average depreciation. Second, mid to high priced homes were more inflated than entry level housing. When those homes depreciate, they have farther to fall than a lower priced home. This also brings down the average. Finally, because panic can create a knee-jerk reaction among sellers, and market perception can create a hesitance among buyers, prices can be lower on the way down than they will be at the bottom.

What does this all mean? It's a GREAT time to shop for a moderately priced home. When the market has found a solid bottom and the demand returns, there will be a lot less ambiguity about what a home in your area is really worth. Sellers will be less willing to entertain offers, and selection will decrease.

Personally, I have seen more people buying investment properties in the recent weeks than I've seen in years.  Homes and prices have plummetted in some markets.  I have to tell you, that even some people with very little income and equity are now finding this opportunity to make some great income and cash for their future.  Keep looking, ask your loan officer and keep searching. 

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Comments(3)

Alix Pinzon
Open Mortgage, LLC NMLS # 2975 - Downey, CA
(562)743-6086
It may be so in Chicago, but we're hearing otherwise here in So. California.  The last Real Estate cycle lasted about 9 years.  If we're just about a or so year into a slump, it would seem as though we have at least a couple of years before it's a "good time to shop for a home."  
Dec 06, 2007 03:30 PM
Gary Woltal
Keller Williams Realty - Flower Mound, TX
Assoc. Broker Realtor SFR Dallas Ft. Worth
Larry, moderately priced homes might be the better investment too as home prices again appreciate at some point in the next cycle.
Dec 08, 2007 02:36 AM
Larry Bettag
Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 - Saint Charles, IL
Vice-President of National Production

Greg...good words...we need to know that market specific means regions as well;

Gary - good words dude.

Dec 10, 2007 01:27 AM