The time to buy real estate is NOW! Seriously, NOW!

Have you been sitting on the sidelines waiting for the real estate market to “bottom out” so you can jump in and buy?

Waiting for interest rates to hit their lowest point so that you can lock in a great loan?

Your time is here NOW!

Seriously folks, there has NEVER, EVER, EVER been a better time to buy real estate, whether you are buying your first home, trading up to a larger home, downsizing or buying an investment property.

Do it NOW or regret it later!

Here are 3 reasons why:

1. Interest rates are RIDICULOUSLY low.

Did you know that you can get a 30-year fixed rate right now for around 4%?  That’s incredible!  That means that you could buy a property for $750,000 with an FHA loan, put 3.5% down ($26,250) and have a payment of around $3,500?  You probably couldn’t even rent that same property for $3,500.

By way of comparison, just a few years ago when rates were 6.5%, you would have paid $4,700 per month for that same property!  That’s a difference of $1,200 or 25%.

Essentially, real estate is on sale right now and you’re getting 25% off!  What are you waiting for?

2. Prices are still low, at least for now.

Real estate prices, relatively speaking, are pretty low right now.  The Housing Affordability Index is at its most favorable point in 30 years.

When investors and other buyers start moving money into the real estate market (see below), supply and demand will likely push prices higher.  With interest rates continuing to stay low in the near term, people will continue to buy real estate and prices should go up.

3. The stock market is down, gold is high and bonds are low, which means … everyone is going to start buying real estate!

Economics tells us that real estate is a great hedge against inflation.  The stock market had a sell off due to worse than expected GDP growth and gold is likely overvalued at this point, which means investors need to start putting their money elsewhere.

Guess where that money will likely start flowing?  You got it … Real Estate!

The opportunity to purchase real estate has never been better.  I am buying and I am advising all of my friends, family and clients to buy.

For a complimentary real estate consultation, give me a call at 310-623-8711 or e-mail me.

– Danny