Buy A Home Now Or Wait?

As I have said time and time again it is a great time to buy if you plan on staying in the home for at least 5 years.  I have continually given the example of low interest rates.  Again, now is a great time to buy because of the low interest rates and home affordability.  If you get the tax credit on top of that it is just a bonus and makes it even more enticing. 

“If rates do go up sharply, that will have a big effect on home buyers. Richard Redmond, a mortgage adviser at All California Mortgage in Larkspur, Calif., offers the example of a couple with combined pretax income of $100,000 a year and debt obligations (excluding mortgage) of $500 a month. At a 5% mortgage rate, he figures, the couple could qualify for a loan big enough to buy a $590,000 house, assuming a 20% down payment. At 6%, that would fall to $540,000.”