I am waiting for either rates or prices to come down, how can I lose money in the process?

The biggest challenge for the consumer in today’s real estate market is getting the right timing on all the moving pieces. The internet is crawling with misinformation about the housing market, the mortgage market and everything else related to real estate. The other big challenge, the rest of the world keeps moving and it is next to impossible to control all of the variables that can impact getting your best deal.

In fact, if you are trying to take advantage of the current reduction in purchase prices in the Real Estate market generated by the foreclosure crisis, you are not alone. However, trying to guess the bottom of the market in both interest rates or housing prices should be a fool’s errand; because if this crisis passes before you have made your purchase, you will pay much more later for homes that are “on sale” today through higher interest rates, higher prices for the homes or both.

When considering the options presented in this market many people expect that somewhere, someone will wave a big flag that says “Do It Now!!” The best time will not be announced to you by some outside force. Markets will keep moving and you need to educate yourself so that you can see the signs when they appear.

Here are several things that most people are not aware of or don’t completely understand when it comes to today’s Real Estate market.

Here are some facts:

• Prices are down. In some markets as much as 50% over where they were just a few years ago. How much lower do you think they will go?
• Interest rates are down. From the high sixes a couple of years ago to the high four percents today. How much lower do you think they will go?
• There is a cost associated with continuing your current path. If you rent this payment does not go away. Have you quantified this cost?

Some general rules of thumb when looking at this market.

• Don’t expect another 50% drop in prices from here. The big drops are already in.
• It will likely become more difficult, not less, to secure financing over the next twelve months than it is today.
• The most attractive properties will move first. Waiting will not give you access to the great properties..

One of the strategies that I provide for my clients and professional partners is called a Cost of Waiting Analysis. I can provide a complimentary consultation to learn about your objectives and see how we can develop a strategy to get you off the fence and into the market to win the best deal possible for your specific situation. The discussion requires I obtain a few pieces of information from you, gathering that data takes less than 10 minutes. Leave no stone unturned in your efforts to get financing.

To be able to schedule a no obligation, exploratory conversation to determine the right strategy, contact me at 510.799.1400 or toll free at 800.259.3524 or email John@JPMortgageLoans.com.

Be sure to ask about the complimentary Total Cost Analysis report. If you decide to take action and secure a mortgage the Total Cost Analysis helps you choose the right mortgage, based on the numbers.

What do you have to lose? More importantly, what do you have to gain?

I have the key to securing a great deal for you to capitalize on this opportunity.
Connect me today to start the process of exploring the numbers and becoming a buyer with a competitive edge. Again no cost or obligation to you, this is a community service I provide.