Chicago real estate market, thinking to buy... (to rent, mortgage)

[hamh]

Hi guys, what do you guys think on the Chicago real estate market now?

Do you guys think it's probably going to get stable or it may drop more?

I'm struggling on whether I should buy now. I miss a chance to buy a place I really like earlier this year, and now the place is gone. There are places that kinda fit my liking and financial criteria, but it's not something like " wow this is the one".

Should I just wait longer for the right house to appear or I should get the chance now?

[Drover]

If you're in it for the long haul, just buy. If you're just trying to time the bottom turn a buck... well, our crystal balls aren't any clearer than yours.

[hamh]

I'm going to buy a place for myself anyway, the question is when. If I buy it this year, probabaly I can get the lowest price at least in 10 years, but time is running out and I don't want to buy because I need to catch the lowest price

[Drover]

Why do you "need" to catch the lowest price?

Is there something in your price range, today, that you like? Is there something you feel is worth the price they are asking for it today? If so, then buy it. Otherwise, don't.

[hamh]

I guess if you need to buy something, you always want to buy it at the possible lowest price. So in my case, I ultimately will need to buy my own place, that's why I'm considering buying this year. And I don't know how to judge a place to see if they actually worth it. I mean the real estate market has been boomed to a point that some house is ridiculously expensive. Should I consider a house is about the right price if they are selling with a price that is close to the price in 04/05?

[Intergalactic]

In you can afford it, you should buy every acre in North America right now. Even if the price goes down a bit from today, the savings from not renting, the building of equity, the low mortgage rates and the tax breaks will more than offset it.

[hamiltonra25]

Tough to say when to buy exactly. I can promise you this if you try to time the market you wont. As a graduating finance student id say buy. The market had a rough one today, mainly because the stress test came out for many companies. If you wait to buy you will miss your opportunity. As someone previously mentioned right now with the tax CREDIT which the best deduction possible its stupid to rent and not own, if you can. Write off interest on the mortgage, thats a huge savings. The problem is....will you qualify for a mortgage? A lot of ppl think they will and they wont because of what happened. Hopefully you will and your investment will work out for you. If not id buy stocks personally and get ready for the BULL cause its coming baby

[hamh]

nice, thanks for all the opinions. I think I'm going to buy it this season as I have the mortgage preapproved ;-)

And yea, I'm waiting for the BULL to come, hehe.

[Drover]

Congrats and good luck with your purchase.

[chet everett]

I don't have a crystal ball. I mostly laugh when some one says it is a [great] OR [terrible] time to buy, as I sorta equate it to buying anything else: it ALL depends on you WHY you are buying and WHAT your alternatives are.

If you could RENT more cheaply then I would encourage you do so, but please assign SOME value to the real monetary advantages of owning (tax treatment, possibility of appreciation).

That said ALSO realize that EVEN for those who seemingly bought "at the right time" but in the WRONG place or at the WRONG price did NOT do themselves ANY favors. It is entirely possible to massively MISJUDGE any purchase.

My gut says there are DEALS out there and for those with SOLID financial underpinning and ability to understand a GOOD VALUE they can do quite well. It is silly to think EVERY seller is desperate, and it would be a sign of a VERY unhealthy market if that were true.

Prices seem to have hit a trough, and they might stay here for a while, but a place that can be bought at a fair price, maintained to a high degree, appropriately upgraded over time OUGHT to be a safe bet in many areas of the Chicago region...