There's a lot of talk lately about Alberta's economy and whether or not buying a home now is a good idea.
The thing about real estate, is that it is a necessity, not a commodity. Everybody lives somewhere. Whether you're paying your landlords mortgage or paying down your own mortgage. Interest rates are very appealing right now, which can drastically affect your mortgage payments, not to mention, when the real estate market is slower, there's more product to choose from and in return that typically leaves more room for negotiations on sale price versus asking price.
A lot of buyer's are concerned that house prices may fall due to the uncertainty in our economy. As always, there is a chance that the market may take a downturn, causing home owners to potentially lose money. Having said that, if you continue to pay rent, you're guaranteed to lose money on your housing.
Interest rates are a huge factor when it comes to purchasing a home. They can affect how much you qualify for as well as your monthly payment. Mortgage rates are currently some of the lowest rates in 60 years! Adela Allen from DLC Regional Mortgage is securing rates as low as 2.89% on a 5 year term. Call Adela to see what you qualify for and what rate she can get you. Adela: 403.396.9244
Prices come down to supply and demand. Buyer's benefit from a slower market in many ways, such as:
- There is more product to choose from
- Seller's are typically more negotiable if there is more supply than demand
Currently there are 312 properties for sale in Red Deer. Last year at this time, there were 280.
Buyer's can benefit from the current market conditions. With record low interest rates and a lot of homes to choose from, now is a good time to capitalize on the market and make the shift from a tenant to a home owner.
If you have any further questions, or would like to talk more about purchasing a home, please feel free to contact me directly at 403.588.6444
Century 21 Advantage Realty