The "V": One way to evaluate the Real Estate Market and Interest Rates to Determine if it is a Good Time for You to Make a Move.

Do this as you read. Please print out the letter V which I have imported into this blog or draw your own V. If you draw the V,then also right on one leg of the V, "Interest Rates" and on the other leg of "Home Prices". At the top of each leg right the word "high" and at the bottom of each leg right the word "Low".

Now on each leg draw a circle where you think the market is as far as interest rates and home prices.

If both circles are near the bottom,then you feel that interest rates and home prices are low or almost as low as they can be. This would be an indicator that it is the perfect time to buy a home. A good time to sell if you have owned your home long enough to make a profit on the sale (your purchase price verses today's market price)with rates being low, so buyers can afford "more house".

If you circled near the bottom for interest rates and a little higher up on home prices--perhaps middle of the v leg,it would be an indicator of a great interest rates and healthy prices of homes,which is good for buyers and sellers.

If you circle toward the bottom it is also a great time re-finance. A wise word I heard regarding locking in a rate on new mortgage or re-finance: once you lock in the rate don't look back. If you don't think it is a good time to lock in the rate,then wait and risk whether rates will get better or not. I would take interest rates in the low to mid 4's any day of the year.

If there is a home out there that you like but hasn't sold, it could be a good time to buy a home now that has been in the market, that sellers don't want to carry through the fall and winter season.

If you didn't circle the bottom of the leg for interest rates,I'd be interested in knowing how low you think rates will go.

If you want to talk about your local real estate market and have a free pre-market consulation,give me a call. I am here to help.

Life is good!
Adam
adambashein@mris.com
Call: (301)943-4370
office: (301)718-4100
www.basheinhomes.info
Adam Bashein
Weichert Realtors
Licensed in MD & DC