November's Rebellious Buyer's Tip-Lower Rates, Higher Rates...Survey Says?

Ok, I think you all know my mantra about not waiting around.

But I'm going to repeat it. And repeat it. And...well, you get the idea, I'm sure.

Rebellious Readers, both you ladies and you (relative) gentlemen, I keep getting the same question from those of you out there who are on the investment side of things. It's some version of this:

"Larry, what's going on in the Bay Area foreclosure market? I've found a place I'd like to buy, but if I wait, there might be a better rate in a couple of weeks. Should I buy now or hold off for a bit??"

First, a reminder. NOBODY has a crystal ball. After all, who could have predicted Britney Spears making a decent comeback?

But I gotta say, that while rates did dip a bit in October, they seemed to climb right back up again shortly. AND, if you know what kind of buyer you are (see my posting from last month about that), then a quarter-point here or there doesn't matter much in the long run. Because remember, we're talking about real estate and short sale investments in the San Francisco Bay Area, and we're thinking about it REBELLIOUSLY.

So, assuming you DO know what kind of buyer you are, then we're talking about having found a place that you either want to hold onto for awhile, or want to turn over quickly, or want to move into. In any case, what your rebellious line of thought should be is:

"Can I afford the payment and still get the kids through college?"

Or maybe, "Can I rent it out and afford the payment for as long as it takes for the economy to rebound, whether that's one, two. or ten years away?"

Because whatever the rate is, is what it is. And if you buy today and the rate drops in a few weeks, maybe you'll be kicking yourself. But YOU WILL ALSO KICK YOURSELF IF YOU DON'T BUY AND THE RATE GOES UP AND/OR THE PROPERTY YOU WANT IS GONE.

Please, my Rebel Alliance, remember that what might go down might also go up, and it's all about what you can afford today and for your foreseeable future. I have met many many many more people unhappy about not having done something in California Real Estate than I have met people who regretted having taken action. So if you're going to play the odds, play the ones that land you a property TODAY at a price that fits both your budget and your buyer type.

Yours Rebelliously,
Larry

BTW-for those who don't know, I'm actually on vacation for a bit, even though I'm still keeping my ears and eyes out in the SF RE scene from away. If you're Facebook users, look me up and add me to your Friend list for pictures and stories from the Mediterranean Cruise that I'm on. But remember...what you see on Facebook STAYS on Facebook...