Friday, December 4, 2009

Now is definitely the time to buy because...

Interest rates are incredibly low, prices are much lower than the highs of early 2008, and inventory is still high for this time of year.

An article published in the SJ Mercury News points out that interest rates are at record lows and buyers are taking advantage of the opportunity.
http://www.mercurynews.com/business/ci_13917606

Loans at these rates are for conforming loans up to $729,750 - which isn't a price point seen in most Los Altos homes. However, several homes have recently come on the market priced under $1.3M. This makes a conforming loan possible for a lot of "move up" buyers.

As of today there are 49 single-family homes available in Los Altos. Of those, 8 are priced under $1.3M . In addition, there is also one undeveloped lot at this price point.

There are 18 townhomes/condos available in Los Altos. Of those, 16 are priced under $1M.

This means that there are easily 23 properties in Los Altos that are prime targets for buyers, with good cash down payments, who can then take advantage of these record low interest rates. There are more buyers than there are available properties, so now is a great time to buy in Los Altos.

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