Tag Archive for 'time to buy'

IS IT ALWAYS A GOOD TIME TO BUY???

Published by Janeese Jackson on July 4, 2008 in Close-In Eastside 'hoods, Downtown, Lake Oswego & nearby 'burbs, Northwest Alphabet District and Pearl District. 0 Comments

Is it always a good time to buy real estate?  There is, of course, no absolute answer to this question as there are a million stories in the city!  Real estate stats & numbers are useful, but don’t paint the personal picture that we individually may need.  The particulars of any one person’s situation dictates the answer for the moment!  The first question is:  do you have to sell to buy?  It is definitely more of a buyer’s market than we’ve seen in years.  There is actually “negotiation” taking place in our local real estate market.  And, the Portland real estate market, in general, has not been hurt like some other markets.  But, don’t try to convince someone who is trying to sell a condo, for instance, of that fact.  As with a lot of life processes, it’s all about timing.  We can’t rely on general statements about the market without knowing the personal details of the individual’s situation.  It might be a good time to sell & buy, but it depends.  For instance, if you purchased a condo in the last couple of years you most likely do not have enough equity built into your home to be thinking of trying to trade in this market if you don’t have to sell.  The condo & townhouse market is stuggling presently.  Not to worry, the condo market will rejuvenate with time and the right opportunity will surface!  However, if you’ve owned your condo for a while and you can price for the 2008 market, not 2005, then you’re golden.  Detached housing needs to be priced competitively, staged properly and positioned in the marketplace to be perceived, at the very least, as a deal!  Having owned the home long enough to have acquired some equity definitely allows the seller to “price to sell”!   If you are an investor, there are some “steals” and “deals” out there.  If you are a first-time buyer, this is YOUR market!  In my opinion, this is one component that our present market adjustment is all about.  We needed to get the first-time buyer back into marketplace thru affordability and inventory to start the tiered progression of real estate sales!

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SHOULD I KEEP RENTING OR IS IT TIME TO BUY???

Published by Janeese Jackson on June 30, 2008 in Close-In Eastside 'hoods, Downtown, Lake Oswego & nearby 'burbs, Northwest Alphabet District and Pearl District. 0 Comments

Should I keep renting or is it time to buy?

With every rent check you write, you’re helping to build equity in your landlord’s property. You are paying off their loan. That money should be going towards building equity in a home of your own. If you think you can’t afford a home right now, think again. Today’s rates are low enough that your house payment could be as low as your rent payment! There are many advantages to owning a home, including:

INVESTMENT- Payments on your mortgage loan mean you are acquiring a major possession; instead of rent, you own more and more. With many homes in the Portland area appreciating around $2000-$3000 per month, the equity you gain in one year is skyrocketing. The garden you plant, the permanent improvements you make - all enhance your way of living as well as the value of your home.

CASH EQUITY- Better than a savings account, your home can appreciate to keep pace with inflation. Over time, history has shown that owning a home is one of the very best financial investments.

TAX ADVANTAGES - Your real estate taxes and the interest on your mortgage are deductible from your income tax. The government is basically subsidizing your purchase of a home. All of the interest and property taxes you pay in a given year can be deducted from your gross income to reduce your taxable income.

FINANCIAL INDEPENDENCE - Most people start on the road to financial independence through home ownership. Your principal and interest payments can remain the same for the full term of your mortgage while your rent usually goes up as the cost of living increases. Imagine how much rent might be ten, fifteen, or even thirty years from now? How much of your home would of been paid off if you decided to buy. Which makes more sense?

SECURITY - A feeling of security that comes from owning a home and the knowledge that your home is a safeguard against inflation.

ENVIRONMENT - You get to choose the area, schools, safeness of your community. Your children grow up in the neighborhood of your choice.

SATISFACTION - Home ownership offers special advantages that make life more enjoyable - backyard barbecues, large family gatherings during holidays, a home workshop, a chance to enjoy your family’s companionship in the privacy of your own home. Renting, You have to get permission to make certain types of improvements. Nor does it make sense to spend thousand of dollars painting, putting in carpet, tile or window coverings when the main person who benefits is the landlord and not you.

  

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