Get In Now, It’s Time
Greeting Chicago!
You know about the tax incentives. Here’s my point of view on where the market is heading:
Interest rates will remain artificially low until early April. Once the Fed shuts down its Mortgage Purchase Facility, rates will become increasingly subject to market forces. While prices are likely to remain either stagnant or even decline further, now is the time to lock in the great financing. Once rates are free to float based on the market in the Spring, I do expect them to rise significantly. I do not expect fair market prices to slide nearly as much as they already have, however; they should remain under pressure due to rising interest rates. Location, type, and condition of the property you chose will factor in how well it weathers the rest of the storm.
We are also expecting to work through the remainder of the Distressed Market this year as well There will always be distressed property on the market, but after 2010/2011, we should return to normal levels, rather than the elevated inventory of this type that we’re currently seeing.
My Bottom Line: Buy now. In my opinion, the money you save in interest over time FAR outweighs, the potential for prices to decline further. Bottoms are generally called well after they have already passed.
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