Property Buy and Sell Tips

As the real estate market continued to decline from the summer of 2005 to mid 2007, financial experts claim that the real estate bubble had burst. Many buyers are sitting on the fence, wondering if it’s a good time to buy and if it’s possible to predict the real estate market.  Here are some predictions of the 2008 market based on trends and facts from 2007.

Home prices will flatten and decline.  Although the prices for homes won’t take a nose dive, they will slowly decline like a feather, swinging left to right until it reaches a landing spot.

Foreclosures will increase.  Interest rates on 3-year and 5-year loans will increase and many buyers who opted for 100% financing in 2005 are likely to lose their homes.

Interest rates will be more stable.  Although the rates will move backwards and forwards, buyers will be choosing fixed-rate mortgages.  Those who do not qualify for commercial loans will gravitate to seller-financed instruments like lease option purchases.

This entry was posted on Monday, April 21st, 2008 at 5:51 pm and is filed under Information. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.