Should you wait to buy real estate?

Questions to ask yourself:

Can you afford it? Can you afford the monthly payment and the costs of maintenance and upkeep? If the answer is no, you should wait.  

Do I really want this? Does this purchase bring you joy? Does it accomplish a goal that is important to you? If the answer is no, you should wait. 

Questions you should NOT ask yourself:

What about the interest rates? If you can afford it at a high interest, you can refinance later if/when rates come down. DO NOT purchase it betting on rates coming down. They probably will but it’s never a good plan to put your financial future in the hands of the Federal Government. 

What if the market crashes? Other than a small blip when there was a financial meltdown due to bad lending practices (that have since been legislated out of the mortgage process), property values have steadily increased since the Department of Housing and Urban Development has tracked home prices. Especially in our coastal market where more and more people are moving here every day. There’s only so much supply and demand is a constant. Will Rogers said “Don't wait to buy real estate. Buy real estate and wait.”

What about inflation? Real estate is one of the few commodities that is inflation proof. During high inflationary periods, values rise. If it’s a rental property, you can adjust the rents up to cover inflation. 

What about the election/war/talking head scare tactic of the day? Ignore it. Its noise. Real estate has been a proven investment and the best way to increase generational wealth for centuries. Over the years, there’s been wars, pandemics, elections, gas shortages, etc. Through every scary thing society has faced, one of the things that has remained steady is real estate. Entrepreneur Marshall Field said ”Buying real estate is not only the best way, the quickest way, the safest way, but the only way to become wealthy.”

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