Wondering if it’s a good time to buy real estate? The author suggests that if you answer “NO” to any of the below statements, you should think hard about whether or not it really is a good time for you personally to buy:
1. You are planning to be a long-term holder.
2. Payments are affordable and you have a steady job
3. It isn’t significantly more expensive to own over renting – this very important.
4. For investors, if it makes cash flow sense. Watch out for returns that appear too good to be true.
5. It is the right property for you for all the right reasons; i.e. you “love” it!
6. It is fairly priced relative to the recent comparable market sales in the immediate area for similar properties.
7. You plan to own it for a long time!
8. There aren’t too many foreclosures or vacant homes in the area. This is very important..
9. It is in decent shape and doesn’t need much fixing-up.
10. The home isn’t near a big vacant parcel, non-residential zoned parcel, empty or retail/industrial/religious site.
11. You complete the proper due diligence steps to reduce your risk as much as possible.
12. And you plan to own it a long long time!
Leonard Baron, MBA, CPA, is a San Diego State University Lecturer, a guest blogger on Zillow, the author of “Real Estate Ownership, Investment and Due Diligence 101—A Smarter Way to Buy Real Estate”, and loves kicking the tires of a good piece of dirt! See more at ProfessorBaron.com.
For full article see: Is It a Good Time to Buy Real Estate? – My Money (usnews.com)