Sherman D. Harmer Jr.

Sherman D. Harmer Jr, HomebuildingReal Estate Guru
After reading this guys drivel, you might want to read this: Rent Vs. Buy Myths. Why is it these kooks never want to talk about affordability using practical measures of price and personal income?

2008-02-13: The Time to Buy a Home (Does he mean "House"?)
Consider the facts: Prices are competitive, interest rates are very affordable, there are plenty of homes in all price ranges to choose from and sellers are more likely to bargain.

The FHA loan increase will also help first-time buyers realize their dream of homeownership. FHA conforming loans require 10 percent down, not 20 percent. That means San Diegans can earn substantially less annually and still qualify.

So why have so many prospective home buyers been waiting?
It appears they allowed emotions to overtake common sense.

First-time home buyers who are choosing to “play it safe” and keep renting are essentially postponing the opportunity to build home equity. No one can accurately predict the peaks and valleys of the housing market. If you sit on the fence and wait for the absolute best deal, you could end up literally waiting for years, and in the meantime miss out on the opportunity to become a homeowner while prices are moderating.

Not to be overlooked are the tremendous tax benefits received by homeowners as they accumulate equity in their homes. History shows that buying a home is one of the very best financial investments available to a typical household, and a relatively small down payment enables the buyer to see appreciation on the entire value of the property.

In today's housing market, the real risk is in waiting to buy a home. (Huh???)