Despite 2011 being another rocky year for the housing market overall; experts predict market stabilization, thus making 2012 prime time to buy a home.
In the video clip, Amanda Gengler of Money Magazine states, “Prices dropped another 5 percent or so nationwide in 2011 and economists are forecasting that [trend] to reverse course in 2012. They’re expecting 95 percent of the nations metro areas – so pretty most of the country – will actually see a slight uptick in prices.”
East Fort Lauderdale is one of a few markets where house prices began to climb in 2011, thus putting this prime real estate market ahead of the national trend. At Luxury Living Fort Lauderdale, we have seen inventory levels decrease in neighborhoods like Coral Ridge, Downtown Fort Lauderdale, Las Olas Isles, Rio Vista and Victoria Park, which seems to have a direct effect on increasing home prices. (see Fort Lauderdale Real Estate Market Ahead of National Trend).
Why is 2012 a good time to buy a home?
- Cheap prices
- Market stabilization
- Record low mortgage rates
- Little competition in most areas
What should you look for in a home?
- Focus on smaller homes – The once popular McMansions are in less demand
- Look for a home close to restaurants and retail stores
Who should consider buying vs. renting?
According to Gengler, “I think the one thing that we’ve learned throughout this housing boom and bust is that buying is a great thing if it is appropriate for you at that moment given your lifestyle, your goals and your income frankly and your financial situation.”
“If you are setting roots somewhere, 2012 is a great time to buy and I think you would be very smart to do it. On the other hand if there is a chance that your job is at risk or you plan to move in a year or two then you’re better off renting.”