Buying a Home Now

Posted by Professional Realty on Wednesday, May 7th, 2014 at 10:20am.    1249 Views

Is it a Good Time to Buy a Home or Not?

ohio real estate buying a homeThis is a question on many potential buyer's minds lately. I'd like to take a stab at that and hopefully answer the question for the entire next 2 years as we approach the middle of 2014's second quarter. First of all, bad news sells, doesn't it? The media would always have us believe we're going to hell in a hand basket one way or the other.

Rest assured, cycles do just that; cycle. As sure as something goes up, it must come down, and when something hits bottom it has no where to go but up. There's a phrase among investors on Wall Street called "timing the market" which most think is a bad idea, (I'm inclined to agree) though some with more of a gambler's soul participate. This is also why some loose big, and other's enjoy small, steady wins over time.

What does that have to do with buying a home? Well, first, I wouldn't listen to hype or "anti-hype" about sales being up or down. If you're buying a home for the purpose of living in it all you need do is consider the present circumstances around you.

First of all, current rates are still hovering above but close to historically low rates. I remember them being upwards of 13 % when I lived on the West Coast years ago, so, anything around 4.5%-5.5% is awesome... do you really want to wait until it's 6, 7, or 8% and climbing, costing you many thousands more over the life of the loan? Secondly, there's the current house values to consider, and what are they doing .... going up. Gone are the days of deep discounts, you won't see the rock bottom prices of 2011 and 2012 again for many, many years. So yes, hesitation is a bad idea if you're in the real estate market for a primary residence. 

8 Responses to "Buying a Home Now"

Marty Snyder wrote: Greg - Couldn't have put any simpler for people, really appreciate this. I agree, if you're all about real estate investing buy low and sell high tactics, the Ohio real estate market has about run out of any types of really deep discounts on that note, but there are still good flips out there. However, you're right about buying now if you're looking into purchase for a primary residence, no time like the present!

Posted on Wednesday, May 7th, 2014 at 11:09am.

Steve Bayard wrote: Now is an excellent time to buy, but I would get off the fence and quit thinking about it. procrastination kills!

Posted on Thursday, May 8th, 2014 at 10:47am.

Tamara Leach wrote: This is a informative and to the point article. We forget that things can be worse as far as interest rates are concerned.
I have clients that need to read this and put the pen to paper.
Thanks for writing this.

Posted on Thursday, May 8th, 2014 at 1:18pm.

Greg Hancock wrote: Thank you Tamara, Marty and I have clients we need to remind as well, as the clock keeps ticking, rates have risen and will continue to rise and though slowly, why spend more down the road? :) I know you sell a lot of homes around the Dayton metro area like Centerville and Kettering, and know that house values continue to improve. Again, why wait and pay more, especially when it's more cost effective than renting or leasing. Btw way, love your Agent Profile on our agent roster (Meet our Realtors) link off the home page. Clients are in good hands with you as I know you deliver top notch service to buyers and excellent services to sellers, netting them more. See you soon! :)

Posted on Thursday, May 8th, 2014 at 1:48pm.

mike wrote: I can appreciate this... but I was thinking about buying and flipping, is it a good time for real estate investing? I mean, my buddy was getting like 15-20% off several properties in 2011 through 2013. Anyone? New at this and can't afford to make a mistake on my first one.

Posted on Friday, May 9th, 2014 at 1:01pm.

Greg Hancock wrote: Hiya Mike,

Just saw your question, and the answer is yes, however, smart real estate investors buy property that weathers and performs in any market. You just have to change your strategy. For instance, it may not be the best time to buy and flip for some, and depending on their requirements in terms of time and gains, however, buying, holding and renting, and selling a bit down the road could be a much safer long term bet with fluctuating market.

You're going to want to buy (for buy hold and rent) purposes in metro markets and suburbs of larger metro areas close to jobs. Make sure the area has a lot of big and diverse employers, so there's always someone needing to rent close to these job markets (and tenants that are gainfully employed.) Again, a real estate investment should perform in any market, don't try and "time the market" like some Wall Street investors do, playing psychic with your money isn't a good idea, but changing your strategy to accommodate a changing market is.

Posted on Friday, May 9th, 2014 at 1:20pm.

Tabby G. wrote: I am interested in buying a home as I've done my research and learned that it is an excellent area to live and invest in. Eventually, when I retire, I'd like to have built up a portfolio of rental properties too. Is Monroe a good place to do that as well? I already know that I'd like to live there. Do you work in Monroe?

Posted on Friday, May 9th, 2014 at 4:22pm.

Greg Hancock wrote: Hello Tabby,

Thanks for inquiring, yes actually, my business partner Marty Snyder is one of the top real estate agents in Ohio and we buy and sell a lot of Southern Ohio real estate every year. I'll have him reach out to you after Mother's Day weekend if that's alright, if not, let me know and I'll give you a shout today. Cheers!

Posted on Saturday, May 10th, 2014 at 10:35am.

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