What today’s Natural Housing Market Adjustment Really Means to you,
in Plain English…

Explanations for ALL Who Live in or Invest in Real Estate in NC:

If you believe that your home is currently going down in value and that your chances of selling your home for a profit are slim, you should know this:  Dr. Walden is one of many economists who believe that real estate investing is still a good long term bet for people with good credit. 

“It is “Ideally” a positive anytime the housing market slows long enough to attract more buyers to the market.  Like natural adjustments to the stock market, the current market offers a number of exceptional opportunities for home buyers.  Everything points to the fact that the market is working when people have to opportunity to borrow low, get into the market when home prices are affordable and sell their homes when the market readjusts and the prices of homes have appreciated favorably,” Walden says.

Consider taking your time if you are looking to sell in 2008.
If you need to sell a house or property right now, you might reconsider and sell after the third quarter of 2008 or at a more opportune time in the future.  If you need cash now, consider the benefits of using the equity in your home while the rates are low.  Or, consider the benefits of a reverse mortgage.  What ever you do, make sure to contact a real estate professional for an accurate market assessment.  And, make sure that you price your home appropriately.

Consider Buying Now if You’re Looking to Upgrade or Make New Real Estate Investments!
If you can purchase the right property at the right time (while the supply is high, the demand is lower), own it for a number of years, and sell it for the right price (While the supply is low and the demand is higher), real estate investing has proven statistically to be a good long term investment.

Consider selling and upgrading now, if you’re looking to get into a larger home.
While it’s true that you’ll probably sell your current home for less by putting it on the market today, it may cost less to buy your upgrade.  Mortgage interest rates are still low.  The lower demand for new construction at the current time may dictate that you can buy a new home or spec home for less.  And, because we’re currently in somewhat of a buyers market, you may be able to buy an existing property for much less.

Consider not signing a long term lease if you’re a renter or someone who is not in the market to buy a home.
Remain aware of what the penalties are to break your lease, in order to sign a more advantageous lease in the future.  And, ideally you should keep your credit good by continuing to pay all your bills on time.  Sign a long term lease ONLY when the rental market is favorable to helping you reach your financial goals.

If you’re a potential 1st time homebuyer or renter wishing to buy a home now.
Consider purchasing a home only if you plan to stay in the market for five years or more.  If you have good credit, Coastal is one of many lenders who may be able to offer special assistance to you. 

Now may be great time to think about building a new home.
If you can purchase materials for a lower price, find contractors and skilled labors willing to work for less, you are likely to be able to build for less if you build now, when the demand for new construction is down.

Now may be an “IDEAL” time to refinance.
Mortgage interest rates have remained relatively low.  So, people looking to refinance this year, or anyone with an adjustable rate mortgage that is set to rise this year are encouraged to
visit the Mortgage section of our Web site to apply for and find a PERFICT FIT Mortgage with no closing costs and affordable interest rates.

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