When to buy

Crassula

So many people have been waiting the market to slow down from last year, some of them have the down payment to purchase this spring.
& k6 _' D* s' F; M5 NHowever, they are so afraid of the high price then. Now they have missed a great chance to have their first property this year.
4 i' i" A( L' s( xIt is always better to buy when it is on the way up than it is on the way down.
For example, the condo average price is around $240,000 this March, now it is $270,000.
Say, it is at its prime now even though there is no sign in the condo section yet. Can any body guess, when it will come down to $240,000.
  N4 M1 E. V5 D' }4 ^I will give it another 6 months if the market go down x months in a row. because house is not like stocks, it cannot go down too fast.
8 x& @1 s( ~7 H8 eIf you have purchased that unit this March, you will get the interest rate at 5.0. If you get it now, you may get 5.6. If you get it in 6 months,
- P9 W! P1 \5 {5 P5 qyour mortgage interest rate may have reached 6%.
- w- J3 e+ B# ^House market will not go down if the interest rate is low, so if you want to buy a low price house when it is over priced, you will have bear the high interest rate.
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OK, if you bought this March, $240,000, interest rate 5%. Best deal, total interest in 5years $60,000 Total:$300,000
  q  C8 L/ R) S. u% M7 w0 `3 Xif you buy it now, $270,000, interest rate 5.6%.   interest(4 years and 6 months) $68040 plus 6 months rent = $6000 (you may not get the same
condo with $1000/month rent)  Total: $344,040
if you buy it next March, $240,000, interest rate 6%.  interest(4 Years) $57,600 plus 12 months rent = $12000 Total: $30,9600
- ~0 y5 C* n, N+ D  o! }  J% \We can see what is the best, when it is on its way up, worst?when it is prime(peak).

So, those who have waited, may have to wait another 6 months. However, who can say the price in next March will be $240,000.
+ p, }6 Y! Q& Z( ^% yCannot it be $270,000? Cannot it be $280,000?
4 ~5 n3 [# o7 U# W8 ?So, when to buy, it is always a puzzle. If everybody know when to buy, what is the world like? cannot imagine.
* d+ ~4 i, e8 WFor me as a property investor, I will always tell everyboy, it is a good time to buy,
9 e$ F6 ?1 O, c; P" `4 v  [$ f' Z8 oFor those without a house and try to buy a lower price one, will always try to convince people not to buy, then the market will go down,
; _! r1 d8 U; l4 W) O. athen they will switch to my line and try to "HouHou" to push the market up.
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  B( _8 [+ J+ oHuman weakness.

5 c0 N" e# B/ v0 _2 d5 aWell, we are human, we have it.

紫光

英文帖子一般没有很多人回。lz还是装个中文软件吧。顶一下。

yj151

Z

原帖由 Crassula 于 2007-10-13 11:58 发表
( |  Y0 w% r& e. g' }2 H* u! zFor those without a house and try to buy a lower price one, will always try to convince people not to buy, then the market will go down,
) U3 P' f2 m. k9 ~7 qthen they will switch to my line and try to "HouHou" to push the market up.

Human weakness.
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Well, we are human, we have it.

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呵呵，我不认为这是人性弱点。永远看牛或者永远看熊的，那是猪。
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% \9 J% F% H/ X3 x; C# M+ S能在恰当时间改变阵营的才是识时务者为俊杰。

Crassula

I hope you are not 猪, and can have house sooner and become one of us.

judyzh

6 p! u$ U+ u" \; b装不了中文软件也没关系，用这个：
& c! t) F9 C7 ~  Z% a  X& d8 }+ u$ rhttp://www.o-cj.com/simo/index.php#

judyzh

原帖由 Z 于 2007-10-14 10:15 发表
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' ?+ }9 g. V. u2 e) u永远看牛或者永远看熊的，那是猪。
$ ]7 g2 q. L4 N  N  }

1 T4 M0 j! M! R2 p

Z

原帖由 Crassula 于 2007-10-14 10:41 发表
I hope you are not 猪, and can have house sooner and become one of us.

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Yes, I won't be bearish all the time.

. r. Z  k7 X6 R; rI will buy a house, at the time and location of my choice.