Is This The Right Time To Buy?

The right time to buy is a time when you:
1. Need a place to live
2. Would be helped by the tax deduction for interest and real estate taxes
3. Have the downpayment or can get the downpayment
4. Would like to own an investment property
5. Have extra cash and do not want it in the stock market or CD's
6. Are able to purchase a property at a low price, fix it up and still be
below the market value.


I will be the last person to tell you when the time is right for you.
Only you know that and don't hesitate letting others know that you are
in control of your finances.

Don't buy a property just to buy a property.

There are many good prices out there, however the lower priced properties
do need a lot of TLC. If they are in poor condition remember, that your lender
isn't going to easily give you a home equity loan these days to fix it up.
FHA does have a fix-up loan that we can talk about later.

As a Real Estate Agent I do see some properties that would make a great home for
someone and I do see homes that (once fixed up) would make a great rental property.

So - Is it the time for you to BUY and HOUSE? -
If you think it is just call me and we can talk about it.
I will be the devils advocate towards you and fill your brain with lots of
information so you can go home and think about it. I guarantee you will not
every be disappointed about being educated first. You can always buy a house.
My goal is that IF you decide to buy and house that you will be satisfied
not only with the home, but with the entire situation. I don't want to put any
of my buyers in a difficult situation.

What to do in todays Real Estate Market?

The market has been a bit testy these past few weeks. For stock holders and for home owners.

How would or should you handle your finances in this market?

I have just a few suggestions:

1.) Take an inventory of your present financial situation to find out how much money you have
that is liquid. You should plan to have at least 3 months worth of expenses on hand.
REMEMBER THAT NOT TOO MANY PEOPLE ARE MORE THAN 1 PAYCHECK
AWAY FROM BANKRUPTCY. Don't be one of them as you may know many folks
are being laid off from their jobs.
1. Home heating costs are rising.
2. Food prices are rising
3. Gasoline although settling back are still very high.

2.) If you are renting and thinking about buying a house you should do a new budget
using approximately 29% of your gross income for housing expenses. That is for the
principal, interest, taxes and homeowners insurance. Your combined debt (including
the house payment should not be more than 38% of your gross income. So remember if
you have a car payment, credit card payment, child support, student loan or any long
term dept ( more than 6 months remaining) the monthly payment amount must be added to
the house payment and it should not exceed 38% of your gross income.
THIS IS HOW IT ALWAYS WAS BEFORE THE RUN AWAY MARKET.
3.) You will need a down payment these days. For Government loans (FHA) you
will need to have 3.5% of your own money into the downpayment etc. (This can be a
gift from a relative) The new deal is that the lenders want you to have an equitable
interest in the property. They do not want it to be too easy for a borrower to just
bail out of the property when the going gets tough.
4.) You can still ask the Seller to pay up 3% - 6% of your closing costs.Depending upon your
downpayment.