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Are we at the bottom yet?

by Jamie Namock on April 11, 2011

                                                                                                                                                                                                                                                                    

Even as realtors the question comes up almost every day. I believe a better question might be. Are we at the bottom of consumer confidence in the market yet? As we move forward in these questionable times of financial weakness, most ponder the notion of when we will see a turn around if at all. Amidst all the questions, fear and confusion I take heart in knowing that we as a people can and will overcome all adversity.

        When dealing with the unknown there is always fear. Fear of events to come or events we may never get the chance to witness. I believe that we are a bottom and showing signs of recovery. Home prices here in the Phoenix Area are at an all time low which gives buyers a great opportunity to buy at a low cost in the market.

         Can prices go lower? Yes absolutely the can go lower. But when you take into consideration that starter home around 125k would get you a payment for the same if not lower than the cost of rent (at least on a month to month basis). Then when you take advantage of the federal tax credit you receive when you write off the interest you paid on your loan.  It will be less then rent. People will start buying again. Even if prices go lower rental rates will most likely stay the same.

        Is now a good time to buy a home?  This is a question you will need to ask yourself. With the banks being so tight on financing and down payments on the rise. You will need to know exactly where you stand financially. Your credit score is a good place to start. With more and more insurance, utility and even employers basing their decision about you solely upon your credit score it’s not a bad idea just to know where you stand. You will need to make the choice of do I pay my self back buy owning a home or do I continue to pay someone else.

        In knowing all the things I know about our housing market. We  are at the bottom in some shape or form. It will be those that take advantage of the bottom that will bring it back up. With investors climbing over themselves to scarf up the lower end of the market to fix them up and sell them at a premium or maybe just to rent them to someone who is still sitting on the fence. The bottom is here. The American dream is still out there. The best difference is it comes at an affordable price.

Jamie Namock

{ 1 comment… read it below or add one }

new houses for sale 07.02.12 at 4:19 pm

thanks for all the info it helped alot i have recently bought a new house

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