Most "experts" would probably say this is a great time to buy a home. Well, maybe yes and maybe no. I take the position that if a buyer finds that dream home at some ridiculously low price and that buyer has sufficient money to say put down 30% or 40% percent then go for it. However, most buyers do not fall into this scenario. With the number of foreclosures on the market and a weak job market and loans almost impossible to obtain, except if you do not really require a loan, this is not the best time to purchase a home. Home values will fall at least another 10% over the next year. What happens if a couple purchases a home in an area with a high percentage of foreclosures and their home value declines at some point immediately after settlement date. Too many unknowns, from tax assessments to being the lone occupied dwelling in the midst of real estate signs is not very appealing. Patience is key to this real estate mess. It will take another 18 to 24 months to unclog the market and get credit flowing. Save your money and wait. There will be bargains to be had.
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