It is the "perfect strorm" for thinking about buying a first or second home or moving up in the housing world. Here's why.
1. Home prices are down by as much as 50% from the peak 3 years ago. There are tremedous deals if you look for them!
2. Financing is readily availble. Government backed loans are now available up to $720,000. with just 3% down!
3. Interest rates are again at historic lows with fixed rate loans under 6% interest fixed, no adjusments or balloon payments!
4. Property taxes are much lower!. If you buy that home today that was almost twice as much three years ago, then your property taxes (based on sales price) will be half of what they would have been in the past!
5. If you are moving up from a condo or smaller home to a larger one, expect to come out ahead! Here's why. The typical condo here in Santa Clarita had an average price of $375000 at the peak of the market. Today that same condo is selling for $300,000, a net loss of value of $75000. In the same market, the home that was typically selling for $700,000 is now availble for $525,000, a net loss of $175,000. I bet you would be willing to give up $75,000 for a return of $175,000 all day long! Right?
To sum up, buyers have an opportunity to buy at low prices, with low interest rates, with low down payments and have low ongoing property taxes.
Want to know more?
Contact me.
If you disagree, I would like to hear your input.
Thanks,
Brad
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