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Old 05-27-2013, 08:29 AM
 
37,315 posts, read 59,878,910 times
Reputation: 25341

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IF Obama doesn't renew Bernanke in August when his term expires there will be some quaking in the markets but if he gets new chairperson who is Janet Yellen she is likely to continue with buying for short term and then let rates start to come back up
the problem is that rates have been so artificially restrained that any attempt to loose the controls might just see a bolting effect---and interest rates could shoot up pretty high for short term before stabilizing at lower rates....
Personally I would try to have mortgage in place before August...and if you can afford it a 15 yr mortgage is always to YOUR advantage as buyer...since it forces you to pay it off sooner and saves you more money in long run...
of course you can take a 30 yr and make additional payments against principal as long as the mortgage allows for that...
just make sure it has no pre-pay penalty if you need to sell and pay it off...
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Old 05-27-2013, 08:42 AM
 
473 posts, read 1,199,974 times
Reputation: 357
You are definitely paying between 2.5 to 10% more by not having bought earlier. High priced homes typically are available at larger discounts in a subdued economy depending on the seller's situation. Worst case scenario, you might loose 6% (seller's commission) to 15% if you decide to sell before 5 years. DFW is a fairly stable market and based on historical trends with a high-low economy cycle every 3-5 years, its good to set expectations to yourself. It good to not assume price appreciation in Dallas area. I am just making the 15% loss based on your inclination for upgrades (from past postings) that the buyer might not be interested if you sell in a slow market. Best case scenario, you might either break even or make 2.5 to 10%+ depending on the years you lived or if you are lucky to get a house of your liking at a substantial discount.
I had all kinds of excels spreadsheets and rented for years before pulling the trigger. Financially,home buying was never a convincing decision for me specially for mid west and DFW area where I have lived mostly. Buy a house only if you want to enjoy and give more space to your family and kids. At some point you have to take the "Finance" angle out of this equation and consider your risk ability to handle the notional price swings or realistically handle a loss if a situation arise. I think you are best judge of your situation.
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Old 05-27-2013, 10:03 AM
 
276 posts, read 528,759 times
Reputation: 181
It took us total six weeks to hunt, offer, inspect,close & move in our current place because we wanted to live in a good home not live to look for a perfect house at a bargain price. I don't like to play paranoid and anal Sherlock Holmes trying to investigate every brick and nail. Most savvy people get lemons and most naïve get great deals so just use common sense and buy one that speaks to you when you walk in.
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Old 05-27-2013, 07:35 PM
 
440 posts, read 867,441 times
Reputation: 544
It's been like this since Jan of 2012-we watched the markets very closely and things started picking up then and just kept going since...that said for the amount of time it has taken you to decide which home is for you prices have increased quite a bit-you have been on here alot with one house or another-I think these days there will be few bargains out there in the areas you are looking..you need to decide do you want a house -and if so find one that you like-it might not be perfect but few are-and make it what you want it to be ...personally it would drive me insane to be house searching and bidding week in and week out like you appear to be...take the plunge or not...someone else said a house is your home first ...not really an investment ...more like a security blanket for the now and future...you need to get on with your life not be constantly worrying about the house hunt/investment side of things -life is just too short...just my 2 cents worth....
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Old 05-27-2013, 10:50 PM
 
1,257 posts, read 3,683,277 times
Reputation: 941
Quote:
Originally Posted by sossie View Post
It's been like this since Jan of 2012-we watched the markets very closely and things started picking up then and just kept going since...that said for the amount of time it has taken you to decide which home is for you prices have increased quite a bit-you have been on here alot with one house or another-I think these days there will be few bargains out there in the areas you are looking..you need to decide do you want a house -and if so find one that you like-it might not be perfect but few are-and make it what you want it to be ...personally it would drive me insane to be house searching and bidding week in and week out like you appear to be...take the plunge or not...someone else said a house is your home first ...not really an investment ...more like a security blanket for the now and future...you need to get on with your life not be constantly worrying about the house hunt/investment side of things -life is just too short...just my 2 cents worth....
FWIW, we only bid on two homes.

The custom house fell through because of a problem with the developer.

Btw, I'm very appreciative of you guys - very helpful and I'm glad I joined the forum.
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Old 05-28-2013, 06:23 AM
 
Location: Simmering in DFW
6,952 posts, read 22,690,784 times
Reputation: 7297
Quote:
Originally Posted by pinipig523 View Post
FWIW, we only bid on two homes.

The custom house fell through because of a problem with the developer.

Btw, I'm very appreciative of you guys - very helpful and I'm glad I joined the forum.

You have to be thick-skinned at times to continue posting on the forums.
We are all enjoying being voyeurs to your home search. Please continue sharing and asking, and please don't let the harsh statements get to you! We will do backflips for joy when the right place comes along....
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Old 05-28-2013, 07:23 AM
 
Location: North Texas
24,561 posts, read 40,291,156 times
Reputation: 28564
Quote:
Originally Posted by Squirl View Post
You have to be thick-skinned at times to continue posting on the forums.
We are all enjoying being voyeurs to your home search. Please continue sharing and asking, and please don't let the harsh statements get to you! We will do backflips for joy when the right place comes along....
Squirl I think you're overstating the forum's level of enthusiasm just a little bit.

As for the OP...I don't think anyone here is trying to be ugly, but we've had thread after thread of hand-wringing agony about this house or that house, this suburb or that suburb, etc. We're just being straight with you; Texans are good at that.
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Old 05-28-2013, 08:01 AM
 
440 posts, read 867,441 times
Reputation: 544
Quote:
Originally Posted by pinipig523 View Post
FWIW, we only bid on two homes.

The custom house fell through because of a problem with the developer.

Btw, I'm very appreciative of you guys - very helpful and I'm glad I joined the forum.
2 or 3-plus others you have posted-doesn't matter either way. No one on this thread has been harsh-but you asked so we answer-good luck on your search-
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Old 05-28-2013, 08:09 AM
 
170 posts, read 374,069 times
Reputation: 103
There is more to life than house hunting but its your life so do as you please.
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Old 05-28-2013, 08:26 AM
 
Location: Southlake. Don't judge me.
2,885 posts, read 4,647,352 times
Reputation: 3781
As an FYI, the latest Case-Schiller data came out this AM with price info thru March. S&P | March 2013 | Americas

Per their data, home prices in Dallas went up another 0.81% in March, which is in line with the increases over the prior 4 months. (0.81% in February, 0.91% in January, 0.71% in December and 0.80% in November). Since May of 2011 there have only been 2 "down" months in Dallas housing, and home prices here are almost back to their prior peak reached in April 2007. This is data for the entire metro, obviously different neighborhoods will have different experience but overall, that's what's happening. Note that this data is almost 2 months "stale", and all indications are that the RE market remained strong here in April and so far in May, so prices here may actually be above that old peak as I type this.

Sure, everything could go kerput tomorrow, but there's nothing in the tea leaves indicating it's likely (unlike in 2006/2007, when there were indicators SCREAMING for a sharp pullback in the near future). You should also note that home price increases in Dallas over the last 12 months have actually TRAILED those of Case-Schiller's composite index (6.79% for Dallas compared to 10.87% for the 20 city composite) indicating that the strength in housing currently is nationwide (and also shows no signs of abating).

Again, Everything Could Go Horribly Wrong, but right now sure looks like a Good Time To Buy, assuming of course that you've got a house to offer on and it looks good and you like it and yaddayaddayadda.

Last edited by synchronicity; 05-28-2013 at 08:29 AM.. Reason: 10.87% not 10.84%
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