To Buy or Not to Buy Now that is the Question….

If we only had a crystal ball.  If we may  have been able to prevent what the US is seeing in the housing crisis….but we don’t and we have to look at statistics, facts and figures to make our best educated guess on when and how this is going to turn around.   Currently what we are seeing is an inventory which keeps growing and is currently at a surplus meaning its a buyers market. 

Interest rates that are falling.  Expected to go as low as 4% or lower….now may be the right time to start planning the future for your family or just your investment portfolio.  What buying power does that reduced interest rate give you…the numbers below are a guideline but they WILL HELP YOUR BOTTOM LINE!

The information is 6.5% interest vs 4.5% interest on a 30 year fixed loan.  This means that you can save money on a monthly payment or just simply afford a home that may not have been in your price range prior to the rates dropping.

Loan Amount of $500K: $3,160.34 Vs $2,533.43 

Loan Amount of $250K: $1,580.17 Vs $1,266.71

Interest rates are low, now is the time to look at buying…your dollar goes much further. 
Have a safe, happy and fabulous New Year.

Much Aloha. 

Mary on Maui  Your Wailea Real Estate Agent.

C21 All Islands-Wailea


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yes, the low interest rate can be a good motivation to buy. However, the fear of losing a job or business not making money due to a tight economy makes may potential homebuyers hesitant about buying a house at this time. It’s hard to tell. I see a lot fo re-financing though. An if we have the money, yes, it’s a good time to buy – prices are lowering and interest rates are low.

If you aks me, if you have the money, buy properties now, when they still are cheap. Still, before doing so, inform yourself about property types, like fee simple or leasehold, and about the main difference between these.

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