With the mortgage crisis of recent years the housing market has taken a huge hit. Everyone is still hoping for economic recovery in this sector. Although there has been a slight rebound in home values in some regions, nationwide there are still many distressed properties for sale including foreclosures. This has made it a buyer’s market and a great opportunity to invest. As well, mortgage rates have plummeted to some of their lowest levels in the last 40 years. Whether you are a first-time buyer or a real estate speculator, now is the perfect time to look at purchasing real estate.
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Economic Conditions
A contributing factor to lowered property values in recent years has been the high unemployment situation. The economy has led many homeowners to either take advantage of significantly lower refinance rates or simply walk away from their mortgage. To further compound matters there hasn’t been as much available funding from banks and other lenders as in the past. Financing requirements have also tightened up significantly. Combined with low spending from consumers and already low housing prices, the selection of available homes has never been better.
Too Many Properties
Home values have also plummeted due to an unusually high number of unoccupied properties and those being built that haven’t sold. When there are a lot of homes for sale, the higher supply outstrips demand and causes an even further dip in prices. Within environments such as the current one, buyers have much greater influence and can find properties at a great bargain. Combining this with mortgage rates at historically low levels of 3% to 4.5% (depending on the length of the loan), the conditions for getting a great deal on a home have never been better. Conversely, sellers have fewer options and are typically more willing to settle for a lesser amount. Many homes today are being sold far below their market values.
Future Considerations
Before real estate markets fully rebound it’s possible they’ll go even lower before finally stabilizing. However, regardless of what economists and analysts predict, there is always going to be uncertainty. That’s why it’s essential to take action at a time when recovery is at its weakest stage. By purchasing now, you’ll be positioned to have a property that can dramatically increase in value at a later date. In addition to all-time low mortgage rates there are also first time buyer tax credits available that can sweeten the deal.
Work with a Realtor
There is nothing wrong with benefiting from the current realty situation. Now is the time to take advantage of unique market conditions and find the home of your dreams. There are many desirable places to live that now feature affordable housing. Even certain upscale neighborhoods have become more accessible. The best solution is to work alongside an experienced realty agency. Many offer a wide range of homes and prices to match every preference and budget. Most realtors can also give recommendations on affordable financing options.
Please visit http://www.premierfloridaproperties.com and learn why many people choose us as their one-stop resource when looking for their dream home or investment property. In addition to the highest possible quality listing service, we provide extensive market real estate details and information for both buyers and sellers.
