All the news surrounding the mortgage and real estate industries these days seems to be bad, but is there a glimmer of something positive in this market? There may be, it turns out it may be a great time to buy, depending on your circumstances. There are always risks involved in investing and the real estate market is certainly no exception. But, the long term performance of real estate has made it one of the best investments most people can make. And there is the added benefit that Real Estate provides that other investments don’t, you can live in it!

 

This market is especially good for first time buyers who don’t have anything to sell and can take advantage of lower prices. It is especially important to have as much information as possible when either buying or selling in this market. The best way to do that is to work with a professional Real Estate agent who specializes in your area. Knowing what other similar homes are selling for will help you negotiate for the best possible price.

 

Another factor to consider when taking advantage of the current market is how long you plan to stay in one place. If you anticipate moving again in a relatively short amount of time this may not be the best time to buy. In this market you will want to stay in one spot for at least a couple of years before selling.

 

You should also consider your credit score and financial situation before deciding to buy in this market. Lending practices are more rigid than they were previously. Mortgage companies are more careful about making sure that borrowers are going to be able to pay back the money that they borrow. You will also be in a better negotiating position if you have money saved up for a down payment. A down payment of 20%is ideal and will certainly speed up the loan approval process. Not may people are able to come up with that much. FHA loans only require 3% down, but the more you are able to put down the better position you will be in.