What is the best way to convince a buyer that now is the right time to buy a home in South Florida? In a new article in the Palm Beach Post, the Florida Association of Realtors said Monday that Palm Beach County's median price for homes sold in November was $345,700, down 7 percent from $370,400 a year ago.
As honest REALTORS® we are obligated to tell them these statistics. With stories like this in the news and others that predict that the housing market in Southeast Florida will not recover until 2009, buyers still want to play the waiting game. Unless you can find them a really good low ball deal, most of them just want to continue renting. They are all waiting for the market to bottom out before they buy.
If your buyer manages to find the house they want, waiting for the prices to drop further may be a gamble. They may miss out on the best deals. Interest rates are at near-historical lows right now and probably only a recession can make them go any lower. There's no guarantee that the home they want will still be available when the lowest interest rate is available.
I also try to convince them that when they pay rent they are making the mortgage payments for their landlord. If they owned they could be building their credit as well as eventually building equity. Basically, if the client has a stable job and will be living in the area for long period of time, it's best to own rather than rent. If they are in that position now, then now is the time to buy.