Are you staying in the area?

No matter when we turn on the television or radio real estate seems to be a hot topic of discussion. We are constantly informed when real estate prices are increasing and we should be entering the market or when prices are falling and we should avoid buying. This can be very confusing. If you plan on living in the same home for a long period of time the best time to purchase a home is when it is economically feasible for you regardless of the market conditions. The price on your real estate investment may go up and down but over the long term will appreciate.

Is a job transfer imminent?

If a transfer is imminent it is wise not to make any real estate moves. If your job involves regular transfers be careful. If the market is hot and has almost peaked there is a possibility of a slowdown in real estate so you could incur a substantial loss if you are transferred and have to sell.

When interest rates are high, real estate prices tend to be lower and conversely when rates are low, prices tend to be higher. If you are buying when interest rates are low it is a good idea not to buy based on the maximum mortgage you qualify for. If the rates increase your mortgage payment will also increase.