2010 is already proving to be a confusing year for real estate in Chicago. In today’s unstable economic climate, homebuyers are unusually cautious and apprehensive in their decision-making. However, given that most home values have dropped significantly in the past year, if you are brave enough to stray from the herd and willing to make a move, you might be in for the home-buying opportunity of a lifetime. There are several factors working in favor of today’s homebuyer:
1) Since the 1970′s, the relationship between home prices, mortgage rates and supply have never been more favorable for a buyer.
2) Builders in today’s market are offering large discounts and/or attractive incentives to move their inventory as they are under pressure to pay back their construction loans.
3) The $8,000 Federal Tax Credit has been extended for first-time homebuyers and now many existing homebuyers may also qualify for a tax credit.
4) With the current mortgage restrictions in place, many otherwise-qualified homebuyers may not be able to get loan approval. This means that the rental market is thriving so this is also a great time to buy investment property.
Properties priced well in desirable locations are selling so don’t miss out!
