Those Who Try To Time The Market May Be Too Late
There is always one question I can always count on being asked - "Is it still a good time to buy Atlanta real estate?"
Many potential buyers have been afraid to "take the plunge" during this year of falling real estate activity and prices. Who can blame them? No one wants to catch a falling knife, I always say.
An equally important question would be - "Would you have been better off buying last year? Two years ago? Three years ago?"
A purchase made a few years ago - while the market was still going strong - was obviously not the best time to buy… yet at the time, it appeared to be the best possible investment to make. The market at that time was so solid - banks would make questionable loans to uncreditworthy people to finance those transactions.
So when is the right time to buy?
Obviously, it depends upon your particular situation… but if you are considering a purchase for your primary home - and you plan to be there at least five years - then now could be a good time. Prices are low, interest rates are low, selection is good - and the government will give you up to a $7500 tax credit to boot.
Additionally, if you need down payment assistance (as in a NO money down mortgage) then you need to act quickly as only a few weeks are left before those programs will be gone. In fact, many lenders have already discontinued their down payment assistance programs.
It is also a good time to collect rental properties, if that’s your game. Some bank foreclosures are selling at prices that allow positive cash flow - even after repairs.
It can be a good time for a flipping a rehabbed property… but the care that must be excersized in selecting the property - as well as the expertise that is required to rehab economically - make this option one that most people should avoid.
I can’t predict the future - but I do know that the one who buys low and sells high wins, so now can be a very good time to buy.
As always, if you have any questions regarding real estate in the greater Atlanta area, feel free to contact me here.