Is it time to buy?

[DMenscha]

Jeez edwardius, do you have a life? You may get analysis paralysis if you keep this up

Have a great Thanksgiving

[edwardius]

Originally Posted by CityGirl72

I'm thinking of buying now, and want to be in the house for 20 years....you going to tell me I'm going to be upside down til 20 years down the road?

I am not sure about being upside down for the next 20 years, but I think if you were to buy today, there is an excellent chance you will be upside for the next 10.

I guess what I find shocking is that when prices are dropping 20% a year people think its controversial to suggest holding off buying until know that prices aren't dropping 20% a year.

Remember most people when they buy a house are pretty highly leveraged. A 20% drop on a house where you came in with 20% down is a 100% loss of your equity. Its even more than that when you realize that there are lot of transactions costs associated with buying and selling real estate that you will also not recover.

If prices were dropping less than 3% a year, I could see buying right now especially if prices weren't high on a historical basis.

[edwardius]

Originally Posted by DMenscha

Jeez edwardius, do you have a life? You may get analysis paralysis if you keep this up

Have a great Thanksgiving

Have a wonderul Thanksgiving!

[daddiesgirl]

Well we've bought the home and we're super happy. In my view, we have a really sweet deal since the previous owner went to town getting the house upgraded. He put a lot of work in and it's obvious. I feel kind of sorry for the previous owner actually. He upgraded everything you could possibly think of so I felt we got a good deal. My work is not dependent on locale since I work from home so I'll be still making the same income as I was in San Jose.

We didn't buy the home as an investment property and even if it goes down 20% next year, if it averages out and goes up in value in 10 years, we're happy. We have a beautiful home for a price we thought is super cheap compared to where we are now, plus we would have lived in it for 10 years.

Happy Thanksgiving everyone!

[edwardius]

I hope it works out wonderfully for you and your family.

Have a great thanksgiving!