Why Now is a Great Time to Buy!
September 26th, 2011 Categories: Real Estate News
Dr. Steve Sjuggerud, author of Daily Wealth, an online investment advisory, makes the educated point in a recent article that now is a great time to buy
Why? Despite sluggish housing prices and a volatile market, Dr. Sjuggerud says to consider this:
“The median existing home price in America is currently $168,000. But it might cost you roughly twice that to build one from scratch.
If you’re going to build a typical 2,500-square-foot home, at a cost of $100 per foot, it’ll cost you
$250,000. And that’s just building costs. By the time you add in the cost of the lot, permitting, labor, and more, you’re up near $300,000.
You might be able to drive down the cost per foot a bit. But at $80 per foot, you’re still looking at a $200,000 building cost, plus the lot and permitting. At the very best, you might get to $225,000. This is 33% higher than the price of an existing home.If you’re in a position to do it, now is the time to buy a home or refinance your existing home.
Don’t catch yourself looking backwards. A few years ago, houses were extremely expensive, and rates were much higher. Instead, look forward.
1)Today, housing is cheap.
2)Mortgage rates are now below 4%.
3)And the government has renewed its commitment to force home prices higher.
Why fight that? While I can’t promise you’ll make a fortune, I do believe all three of these things will take effect at some point.
If you can, consider buying or refinancing today.”
Want to know more about housing prices in Alexandria and Northern Virginia? Give me a call today at 703.927.4554.
Michael
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