"There are growing indications that it is a good time to buy" according to the Wall Street Journal. Read article
Blog :: 08-2011
Given today's low interest rates, wealth of inventory and motivated sellers, this is historically one of the best times to jump into the real estate market.
There arefive undisputed reasons to purchase real estate.1Equity will build slowly making asset more valuable through time.
2. Tax deductions help to keep more money in your pockets.
3. Home ownership provides ultimate controlunlike renting where permission is needed to make any modifications to property inside or outside.
4. Unlike rental payments that can go up, mortgage payments that are not adjustable remain the same throughout time.
5. Home ownership helps to establish roots inthe community that open up new opportunities not to mention thepride of ownership.
Statistical information can be deceiving.Comparingone month to another month, although interesting, is not an accurate measure of trends. For example when comparingJune of 2010 to June of 2011 we findfewer homes were available for sale in 2011although the months of available inventory increased in June 2011 from 9.5 in 2010to 11.9 in June 2011.
Average asking priceswere down inJune 2011by about 2.6% and average sold priceswere down by 9.6%. The average days on market had increased by 5.5%in June 2011. Whereas, the listing to sold price remained the same.
However, if we look at the same statistics over a 15 month period , April 2010 through June 2011,the average asking price is down by an insignificant 0.6% and average sold price is up by a more significant11.8%. Additionally, the average days on market has decreased by 5.6%.
It is important to view statistical trends over an extended period of time to get an accurate picture of the market. Ultimately, when viewed over time,the real estate market isslowlyimproving on the Cape.