Fear of overpaying for property is common these days, especially in places like New York where prices continue to be unstable.
If you are “frozen” because you areÂ concerned youÂ will pay too much, here are some factors to consider:
- Waiting for the right time can be expensive. Some buyers would have more equity today, despite falling prices, if they had bought when they were first considering it, instead of continuing to pay rent.
- Financing is fickle. Some people who were highly qualified last year canâ€™t find financing this year because the credit market has tightened or their personal financial situation now makes them an undesirable borrower.
- Interest rates are headed up. If prices decline by another 10 percent, but interest rates increase by 1 percentage point, the monthly payment will be the same.
While the Bennington VT real estate market holds relatively steady,Â we are seeing prices dropping on homes where Sellers have a need to sell more quickly, such as a relocation or some other factor than prevents them from waiting.Â While prices are falling, it is true that interest rates are rising,Â or creeping up.Â Take a good look at your situation today and contact Troy Richardson at RE/MAX Maple Leaf Realty to findÂ your perfect home.Â
Source: The Wall Street Journal, Douglas Heddings (07/27/2009)
Bennington VT, Buying