Three Reasons to Buy a Home Now
August 26, 2010
Source: MarketWatch, Michael Murphy
Stocks are up 50 percent from the March 2009 bottom. Some commodities have risen dramatically. The only asset class left in the cellar is real estate, says Michael Murphy, editor of the New World Investor stock newsletter.
As a result, Murphy is advising investors to buy now for these three reasons:
- Desperate sellers: Both home owners and lenders are eager to unload a flood of foreclosed and underwater properties. Buyers with the patience to push through these complex deals can save a bundle.
- Little competition. Because most people don't have what it takes to negotiate their way through short sales and REOs, patient investors are winners.
- Low rates. Mortgage rates are at their lowest level in 40 years. If you believe inflation is inevitable, lock in now.