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Is NOW Time To Buy?

Allow me to address a big question that I’ve been getting a lot during some NJ real estate seminars.  Buyers have come to me and are hesitant about buying real estate because they are afraid the bottom will fall out of the values of homes further than they already have.  Here is my opinion.

Since 2005, prices/values have started their decline and was rapidly accelerated in 2007 with the sub-prime meltdown and 2008 with the Wall Street collapse.  Understandably, a hesitation in buying exists.  I believe we have seen the worst of it.  Banks are starting to lend money again, rates are historically low, the FHA loan product makes things easier, and the fourth quarter of 2008 reported a significant gain in home sales.  Yes the gain in home sales were at far lesser values than what they have been in the past, but this shows that buyers are regaining confidence in the industry and feel affordability has been reintroduced to the area.

A buyer’s market is contagious.  With the signs mentioned above, buyers are asking themselves if they will miss the boat on these great prices.  Put it this way.  I think we are very close to the bottom.  Turn off CNN and don’t listen to them in regards to the huge job layoffs.  Sure they are evident, but although they report the losses, they never mention the replacement jobs.  It’s always interviewing a new homeless person or gloom and doom.  So, if we are CLOSE to the bottom, we will be AT the bottom sometime this year, with prices possibly falling a little more. 

If you are in a financial position to buy, NOW IS THE TIME.  Find a few homes that you can see yourself living in.  Make low offers.  If they get refused, then move on.  There are plenty of deals out there.  If you find a home you really love and can’t live without, you need to put your negative market mentality aside and look at the big picture.  First, could the prices decline further?  Maybe.  Will rates stay this low for a long time?  Probably not.  Are other buyers just like you looking at houses just like this?  Abso-freakin-lutely.  They, just like you are shopping for a dream house AND a bargain.

My point is don’t miss out on this historic time to buy.  If you are looking for a home talk to us.  Let’s figure out the route you want to take.  We are highly trained in real estate negotiations and we can help you achieve a fantastic deal.  Putting yourself in an immediate equitable position is key and there are plenty of homes to do this with. 

If you are interested in buying a home, please call us or fill out our contact form.  Feel free to search the Multiple Listing Service (MLS) for all of the available homes in the area you are looking in.  Look no further than New Jersey Real Estate Guys to assist in your New Jersey Real Estate needs.

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