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Originally Posted by jackmeister
I've been taking a lot of information here into consideration when I am making the purchase.
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Please get some more, you're still very uniformed.
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Originally Posted by jackmeister
And the selection is drying up fast. The area I was looking at had a lot of available listings but over the past 2 weeks a lot of them disappeared. Did I miss the last boat or something?
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No.
Active listings doubled in late 2008 when the markets crashed. They have fallen back to 2002-2007 levels. There's still lots of inventory.
Quote:
Originally Posted by jackmeister
I really hope the prices start to drop now because if not I'll be punching myself in the crotch.
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There's 2 schools of thought on this:
Inflation will cause prices to crash. Rates will have to go up, fast, to fight inflation. This will make housing unaffordable and cause people to default when they are not able to renew.
Deflation will keep rates where they are. Yet unemployment and taxes will increase, driving the prices down on everything including houses.
Quote:
Originally Posted by jackmeister
Right now I'm setting my budget at around 550,000. Of which, 100k savings, 250k-300k mortgage (pre-approved for 350k), and the rest will be parent loans (not sure when I need to pay it back).
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Read up on the sub-prime market in the US and how people were taking 2nd mortgages to finance the downpayment, you're a candidate. You cannot actually afford this place without taking out a second loan (from your parents, I hope they never expect it to be paid back), so what happens if you hit any financial difficulty?