Six Reasons I Bought a House this Week

Six Reasons I Bought a House this Week

 

For the past three months Gail and I have been looking for a home to buy. Every few days I would check out new listings in the area we chose. We toured a few homes a week.   We made an offer on a home on Wednesday.  The offer was accepted. We still need to qualify for the mortgage and complete our home inspection, but I foresee no obstacles t a successful close

 

Here are the reasons we bought now:

 

1.   Prices have hit bottom.

 

Market America Realty and Investment Group has over 116 listings, One third of them sell for above the ask. In Lee County, the median price home is 4% lower than one year ago at $91,000, but this number is pulled down  by the large number of REO’s that the banks are clearing away. Ask any Realtor in town working with buyers and you will find that the hot price points are between $250 and $350,000 Here we are seeing increases.

 

2.   Choices will dwindle

 

Here in our Downtown Fort Myers office we bring in our Cape Coral agents and Fort Myers agents every Wednesday (in fact this coming week our new Naples office will be attending). More and more we are seeing agents raise their hands  and talk about a buyer they are working for that can’t fine the right house. I am reminded of the pricing strategy at some discount stores where they lower the price on certain goods every week. You can find an item you want and you may come back next week hoping for the discount but you find that it’s been sold already.  We have quite a few buyers we are working with that have made three or four offers – and lost them all to a higher or earlier buyer.

 

3.   Interest Rates are  low and on the way up

 

Gail and I were able to get a 5/1 arm at 3.75%. (The rate is locked at 3.75% and then will not move more that one point at the end of that five years) But these rates will not be around very long. According to today’s paper – rates are still below 5% across the board.. The government is going to stop facilitating mortgage backed securities. On March 31, the Federal Reserve will stop buying these securities.  Trust me, interest rates will be going up

 

4.   I want to lock in “Save our Homes” at today’s prices.

 

Our home will be homesteaded as it will be our primary home.  I am pleased that I will lock in the homestead at today’s prices. My taxes increases will be set at today’s prices and the amount of the increase will be set.

 

5.   Right House, Right Neighborhood.

 

Of course we had to find the right home in the neighborhood we chose. Location, location, location.  Could we have found more home for less money?  Probably.  But not where we wanted to be.  When you are looking for a home, become an expert in the area you are looking.. You will know that a deal is good when it is presented to you.

 

 

6.   House had the right things wrong with it.

 

The things this house did not have, I know I can add or create from the existing space.  It has good bones and will give us a base for improving our value, increasing our investment, and insuring a long and happy home.