As home prices and interest rates are the lowest in years, many property investors are wondering if now is the time to purchase an investment property? According to the experts, now is the perfect time to purchase investment properties. Purchasing an investment property right now is ideal because, not only are home prices and interest rates low, but there are a surplus of houses to choose from. As the real-estate market begins to recover, rental property experts recommend you act fast to purchase your investment property before home prices and interest rates begin to climb.
"We haven't seen home prices this low in so many years, coupled with the rates being so low," says Jill Sjolin, an agent with Windermere Real Estate in Woodinville, Wash., specializing in investment properties. "When the money is cheap to borrow and the houses are cheap to buy, it's absolutely the best time to invest."
Investment properties are extremely attractive as there are many distressed sellers who are selling their homes at deeply discounted prices. With a wide selection of homes for sale and foreclosures, it’s a buyers market. The historically low financing costs, combined with the abundance of low priced houses offer the perfect opportunity to buy that investment property you’ve been wanting.
Although, no one can say for sure whether or not the real-estate market is fully recovering, it has bottomed-out. While home prices and interest rates continue to fluctuate, it’s certain rates will never be this low again in the near future. By purchasing your investment property now, when the market does recover, you could quite possibly be sitting on a huge profit.
As J. Paul Getty said, "Buy when everyone else is selling and hold when everyone else is buying."
Even as the current time is considered to be a buyer’s market, there’s still little competition as there are an abundance of properties to choose from. By purchasing an investment property now, you’ll stay ahead of the competition as the demand for homes has yet to spike.
When purchasing investment properties, be prepared as you’re going to be competing with like-minded people looking for speedy wins. Therefore, be patient. If you don’t find what you’re looking for right away, the perfect investment property is out there. Stay focused on your targeted property and don’t compromise with a distressed property.
If you’re interested in learning more about purchasing an investment property, contact Steven Larson.