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June 10, 2008
Buy now or keep on waiting?
Hi,
So I know that it's impossible to predict anything, but if you had some time flexibility, would you buy now or wait a few more months? I'm inclined to just put in an offer on something that I like if I see it now, but my wife has been more cautious with all the bad news in the economy lately and thinks we should wait it out. Any advice/insights appreciated!
Comments
If you want the place, get it. If you are lukewarm on it, and don't need to move, then hang out. Don't time the market price-wise, make your call by how much you like the house. Something you like alot might not be available a few months from now, but something you like even more might be that isn't now.
Posted by: slopenick at June 10, 2008 9:53 AM
"The economy" isn't going the change in a few months. The reason to wait a few months is that brooklyn prices will likely be lower or the same, but are not going to go up in a few months. Also many banks are loosening restrictions and will have better rates or terms in a few months.
Posted by: guest at June 10, 2008 9:59 AM
You didn't say what you were buying. House (done, or needing renovation), coop, or condo (old construction or new). The price outlooks for all of these are different. (For example, I sold a coop a year ago that I would get $200-300K more for today, but who could predict Brooklyn prices would rise? You can't.) And it also matters whether the place you are buying is overpriced compared to what else is on the market, and what neighborhood it is in.
I would buy if I found what I wanted to live in at a good price for TODAY's market (the only place you can operate in is the present), and if I planned to stay there for at least 6 years.
Posted by: guest at June 10, 2008 10:06 AM
How long do you anticipate staying there???
Posted by: Bold type guest at June 10, 2008 10:08 AM
We are looking long-term -- at least 10 years.
Posted by: bk2008 at June 10, 2008 10:09 AM
Interest rates are not likely to get lower. In fact, they might increase in the near future.
Posted by: guest at June 10, 2008 10:20 AM
Buy now a) if you can afford it without stretching b) you could rent it for about the same as your mortgage payments c)there are no changes/renovations you want to do that you would need equity to finance d) you love it - especially the location since in my experience location is THE biggest cause of buyer's remorse.
Posted by: guest at June 10, 2008 10:32 AM
thanks, all, for advice
Posted by: bk2008 at June 10, 2008 11:09 AM
keep in mind that when the nyc market gets red hot again (which is always does) it's VERY difficult to get that place you love because you know you have to act quick and realize there might be other people bidding.
that's what happened when i bought in 06. i loved the process, but was also nervous that i needed to JUMP on anything i saw because i knew there were going to be 5 offers with some over asking.
it's a better time now for a buyer so if you find something great, i'd say go for it.
Posted by: guest at June 10, 2008 11:21 AM
I agree with those who say if you love a place go for it. It's finding a place you love that's the hard part.
It's such a tough question. Two years ago we found a particularly good deal on a house. The place had its flaws. But having looked all around it was the best place for the money we'd seen so we went for it. Now, two years later, I don't regret it because all this time I have not once seen a house either in this neighborhood or others we were considering, that was in our price range and that we'd have liked as much. But there's no crystal ball to tell you that will be the case.
Posted by: guest at June 10, 2008 2:19 PM
Go find a mirror and ask yourself that question. Don't as that question to a forum of Asshats. They will tell you any thing and the answer is within yourself. Good luck...
The What
Someday this war is gonna end..
Posted by: what at June 10, 2008 3:23 PM
well, i believe that people do not look enough in NY when shopping for real estate. this market should buy you some time.
i have bought 3x in Brooklyn, and the last was the toughest - looked on and off for a long time and then intensely for a year. my advice is to really consider different neighborhoods, types of property and do a more on the ground type of research about schools from local parents.
decide what are the ultimate considerations for you. ours where - 1) size! had to be 2000 sq ft 2) central air and new construction or totally renovated 3) safe, really convenient area (i will not leave near any ghetto areas or housing projects) preferred close as possible to manhattan. 4) outdoor space/garden 5) wanted a spread out layout where the kid's room was not near the living room or our bedroom (quiet for sleeping) 6) needed a 3rd bedrm for an office/guest room 7) had to be under $975K
when we saw our place as just a floor plan emailed to me from a broker i was in contact with we took it immediately because it was the first (and only! ultimately) place that had all of our requirements. if you find something, buy it i say, you can't think you'll find it again.
also, my advice is to not worry about interior layout/decorating. easiest thing to change. even super modern condos can look pre-war (should see what my friend did with a boxy brand new condo) and pre-war can go modern.
i've done built-ins, removed closets, added closets, taken out bathrooms, created rooms, etc.. it's not that hard.
Posted by: guest at June 10, 2008 3:39 PM
Damn 3:39 - where did you buy that you found those things for that price? Must have been a few years ago.
Posted by: guest at June 10, 2008 3:51 PM
Da burbs are the NEW GHETTOS as there is an exodus back to urban environment - a reverse exurban movement, if you will. Cities are now much safer than the 70's & 80's and boomers living in spacious McMansions are finding the costs to heat & cool coupled with high taxes too much to handle as they age. Especially, now that there is no need to pay high taxes for good schools as their kids are grown. Mark these words, prices in the cities, especially that of Prime Brooklyn, will rise & the burbs will become Ghettos. Urban environments are our future. No doubt, son.
Anyway, if you have the means to buy in the city, by all means, do so beacuse prices will rise due to high demand - from abroad & from the suburbs. Stay cool, New York!
-The Where
Posted by: guest at June 10, 2008 3:52 PM
Interest rates are low now, if you decide to wait it out for price to drop. Then what happens is interest rates will skyrocket on you and your mortgage will be higher. Find something you like and place a bid quickly.
Posted by: vmc9540 at June 10, 2008 4:49 PM
start looking around now and wait for the price to come down 20 percent from where it i today so that you dont lose too much money. That way you can afford to hold through bad times in that you did not buy at todays prices. You dont want to be that pathetic guy who needs to ask his mommy to for more money in his 30's.
Posted by: guest at June 10, 2008 5:18 PM
I think it is a great time to buy there is some flexibility that might not be there in the next coming years.
Posted by: guest at June 10, 2008 5:51 PM
It's always a great time to buy. On the other hand, it's often good to wait. It depends if you're talking about a home or an investment. If it's a home, buy when you find what you want at a price you can afford, with terms you can live with.
Posted by: guest at June 10, 2008 5:57 PM
"Also many banks are loosening restrictions and will have better rates or terms in a few months"
uh, right. strike that, reverse it. what cave have you been living in? oh, i forgot, it's the creative types buying $2mn brownstones - they are a li'l weak on the finance side. makes sense now...
wait a year dude and keep your dp in hsbc direct 3.5% (and rising) demand acct. you will thank me for this advice.
Posted by: guest at June 11, 2008 3:04 PM
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