Timing the market:
We can (I hope) all agree that we have not seen the bottom. Yet some people will continue to buy and not be sorry. Many others will (and should) wait. It is not purely a financial decision though that is an important part. As I have said before, we will only see the bottom when we are looking back.
Still timing is not simple. Is it worse to buy 6 months before the bottom or 6 months after. If you buy 6 months before with an interest rate of 4.75% fixed are you better off than if you buy at 5.5% 6 months after the bottom - or even at the very bottom at 5.5%. Then again, do we really know that interest rates won't continue to fall. They have never been as low as they are - could they go lower? We are in an uncharted area in part because we don't know for sure what the government will end up doing OR what effect it will have. Further, what other countries do also affects our economy - a great deal.
Timing the bottom for home prices is not the same as timing the bottom for interest rates. Further, each of us have our own timing issues. Our family situations, our jobs, our job security our future plans for a family or downsizing, the cost and acceptability of alternatives to home ownership all affect the importance we place on the decision to buy or not to buy.
Timing is complicated and an individual must look at their own situation as part of the decision. All you need is a fool proof socioeconometic model into which you can pump all the data and have the right answer pop out. Of course that is not possible. One cannot make a general statement applicable to all that a particular time is THE right time.
We are all looking for answers. There may be more than just a few or there may be none.
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For those who have a real desire to own a home , have good credit and want help with the search, the process and especially negotiating the purchase, I'm available. My speciality is discovering financing options and negotiating purchase price and terms as an advocate for home buyers. Each home of interest requires analysis.
My primary service area is Camden, Burlington, and Gloucester counties in Southern New Jersey.
Paul Howard, Broker
NJHomeBuyer.com Realty
Cherry Hill Nj 08002
856-488-8444
MEMBER: NAEBA (National Association of Exclusive Buyer Agents www.naeba.org )
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