Why buy now? Because interest rates are LOW!

Instead of buying right now, are you waiting for prices to drop?

What if the price drops but the interest rates rise? Comparing payments on a home reduced by 10% but purchased at a one-half percent higher interest rate would be very close to the monthly payments on a home purchased at full price at today's interest rate. Have I confused you yet?

Here's an example: if you purchase a home at $100,000 at 5.6% for 30 years, your payments will be $574.08 per month. If you wait and find a home for $90,000, but the interest rate has increased to 6.1%, then your payments will be $545.40 per month. The difference in payments in a year's time is $344.16 or less than $1 per day. (This example assumes a loan of $100,000 verses a loan of $90,000).

In the meantime, you've lost the tax advantages of owning a home for the time period you waited and you made someone else's mortgage payment by paying rent! Then there's the chance that prices will not drop. Then you've really missed out.

There's no time like the present!