Now Is Perfect Time To Buy A Home!

Now is the time to buy your own home rather than rent. If you have ever wanted a part of the “American Dream” of home ownership, NOW is the time. Interest rates and home prices are at an all-time low. It is unlikely home prices will drop much more and it is anticipated that interest rates will begin to slowly rise. "Interest rates are at an historic low”according to Donna Maxwell of Premium Mortgage, which is located here in Rochester NY, she adds:"Why miss out the opportunity to buy a home or refinance while rates continue to be at historical lows?"

When home sales stagnate, rental markets heat up (due to the larger demand for rentals) which pushes rents higher. The rule of thumb here is that when demand is up for rentals, rents go up. We are currently in such a market, where renting is not as beneficial as during the times of lesser demand for rental units. Another reason some people prefer to rent, is that they often reason that renting is economically sound since they do not have to deal with property taxes and insurance. This is actually inaccurate, since housing providers increase rents to cover these costs.

Keep in mind when you pay rent, you will never get a penny back down the road. If you buy your home for a reasonable price, with a mortgage that is equivalent to or less than what your rent fees were, you have reason to believe that you will eventually take back at least a portion of what you laid out to live in your home. There are also tax benefits to owning your own home. Your tax preparer or accountant can explain to you what benefits you have, based on your income and local tax laws.

This is the time to buy since the market is full of home listings. Choice and prices have never been better! Many properties have been reduced in price. In the Rochester area, you definitely are getting a bang for your dollar! Many sellers are motivated, especially as we enter into the winter months and up-coming holiday season. They want to get their properties sold! But, caveat here, be aware this does not translate into sellers giving their properties away. Many sellers who have listed homes properly priced for the local market, are waiting until a buyer comes along that appreciates what they are offering. If you have found a home you like, ask your agent how long the house has been on a market. If it is a recent listing, it is unlikely the owner will budge significantly from the price. If it is over three months, you MAY have a seller willing to deal. The factor coming into play here is, how motivated is the seller? The only way to find out is by putting your offer in!

If you have been thinking about buying, take the time to explore the market with an agent who is looking out for your best interest. This agent will ask that you bring a pre-approval letter to them, since this will outline the parameters the buyer has price-wise, and tells the agent that you are, in fact, a qualified buyer. Having this letter in hand also saves time, when you find the home of your dreams, since it will be submitted with your offer, to show the seller you are a serious buyer, improving the odds that you will get back a signed contract from them!

Happy House Hunting! If your are looking in city and surrounding areas of Rochester NY, call me, Gini Denninger, (585-760-3880) Goodman Realty, to start you on your home selection! For more information on home mortgages call Donna Maxwell at 585-370-4427.