Why is it a good time to buy now?!

A History lesson: Last time we had all this financial "doom and gloom" in Texas, markets tightened up and we had interest rates hovering around 12% to 13%!

Today, we are experiencing the lowest rates we’ve seen in over 20 years…and the largest amount of inventory on the market! What’s wrong with this picture? Why, it’s perfect for us! And it is pretty logical that these rates will not stay depressed like this forever.

But WAIT...??? Nothing happens until we are able to convince those buyers that waiting doesn’t really make sense. Reminding them that low rates rarely tend to stay down, you can create a believable sense of urgency that our buyers can truly identify with.

Let’s say a buyer says, “I think prices may fall another 10%” (which we doubt). But, for the sake of a good example, they should know this:

* Today’s sales price: $225,000
* 90% LTV @ 6.25% -30yr = $1,247 P&I

Prices might fall 10% but what happens if the interest rate goes up 1% in the process?

* Lower Sales Price $202,500
* 90% LTV @ 7.25% - 30 yr = $1,243 P&I

In this case, the buyer may get a lower price, but the change in the interest rate makes it basically irrelevant. Even though the sales price is lower, the payment remains about the same - because of the time spent waiting. Buyers simply need to be educated...and, that's why I'M here! Helping buyers understand what happens "while they are waiting" might create a sense of urgency instead of the "fear of buying"! Ask yourself, what is more likely to happen? Even if prices fall a bit, due to the principle of amortization, if the rates go up, the buyer loses anyway!! BUY NOW!! There's no better time then the present!

The message is obvious: WAITING MAKES NO SENSE!