Most analysts agree that we have hit the bottom of the housing market, especially in cities like Dallas where we didn’t see skyrocketing appreciation in short periods of time. If we’ve hit the bottom, then buyers are crazy if they don’t take advantage of the inventory levels that are out there. Rates are at 4.44% for a 30 yr fixed as of yesterday…what that means is with rates so low, you could afford more house at the same payment. For example, if you borrow $300,000 at 4.44%, your payment is roughly the same as if you borrow $250,000 at 6%. If you’re waiting to “see what happens”, you will miss the opportunity to buy more house for the same amount of money-period. It’s hard to justify waiting for some event in the future when the only market we can predict is the one that we’re currently in.
Now is the time to get off the fence and act. By the time the rest of the market figures this out, inventories will begin to dry up, prices will go up and rates will follow. Housing, rates-it’s all cyclical.
East Dallas has some fantastic buying opportunities for people who are serious about purchasing a home. There remains a lot of relocation business here which means that at some point in the near future, a combination of a good buying environment, more people moving here and a lack of building will mean the beginnings of a seller’s market. It’s closer than you think.