Posts Tagged ‘illness’

10 Wealth Building Reasons To Buy Property In A Buyer’s Market

written by: Leslie J West

1) More properties for sale – A buyer’s market is just opposite a seller’s market: people are still getting divorces, dying, getting job transfers and foreclosures still occur. Simply normal activities will just add to the surplus of houses on the market. Buyers will benefit from this market.

2) Negotiation is more effective – lack of buyers allows a buyer to move slowly and shop around, leaving sellers with fear of loss.

3) Greater margins for appreciation – small home improvements cause large returns on investment. Howeowners are well compensated if they keep costs low and do much of the work themselves especially when the property was bought under the market.

4) Extreme Staging – bottom line: sellers want to sell. If their home is not selling, they are going to paint and do small repairs that they have neglected to do.

5) Write the Offer – Many sellers will offer perks to prospective homebuyers. They are eager to get a sale and will pay your closing cost or offer you a car or vaction getaway to make it happen.

6) Mortgages – Mortgage lenders are just like sellers in a stagnant market. They will give the buyer better terms and in genral be more accomadating to a buyer. The lenders are trying to make a paycheck in a tough market.

7) Marginal Neighborhood – Buy your property on the opposite side of town than where everyone else is buying. Be contrarian buy in an inner city neighrborhood with subsidized renters. Usually, this market is heavily discounted untill a market correction.

8) Home on the range – Buying in the country is not for everyone. However, go ahead and buy in this market. High gas prices make inner city properties more desireable for many people. Infrastructure improvements such as transportation and car pooling as well as, business growth can make these property’s value skyrocket. Inner city crime rate increases can also make rural property a more desirable place to raise your family.

9) Down payment – Your money saved for a downpayment will go further. With the home prices being lower your downpayment of 20 percent may be 25 or 30 percent of the loan to value ratio.

10) Taxes – No brainer; there is never a bad time to own a home. of course buying in a slow market is the best time to buy. You also may receive reduced property taxes due to lower appraised values and a federal or state income tax deduction for interst paid. Yesterday, is never to soon to buy a home in a down market.