The bursting housing bubble has reverberated around the country and the world, spurning a financial crisis that makes headlines daily. But the current downturn isn’t all bad news. The historic fall in housing prices, coupled with rock bottom interest rates on fixed-rate mortgages, could mean the deal of a lifetime for house hunters.
With home prices falling as much as 30% in some parts of the country the past year, many home buyers are learning that they can afford homes in areas that they once believed were out of reach.
In some of these neighborhoods, current prices would have been unheard of even a year ago. A quick search on Cyberhomes – a real estate listing web site – for homes in Riverside, California, finds a four-bedroom bungalow for $179,900. The same house sold for $259,425 in June of 2008. A historically famous neighborhood in Detroit features a beautiful home for $121,000; in 2005 it sold for $200,000. A check of the Atlanta area reveals a duplex that sold in 2006 for $292,500, now selling for $50,000.
With inventory levels at an all-time high, and sellers willing to make concessions to move their homes in a slow market, buyers have the upper hand. So if you’ve been considering buying a home, the time is now! Mortgage rates are the lowest they’ve been in decades, and home prices have fallen dramatically, creating the perfect conditions to shop for your dream home. Seize the moment!
Related Info
- Find out more about buying a home from the Quicken Loans home buying library.
- Looking for a real estate agent? In-House Realty is the place to start!
- Find today’s mortgage rates.
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