Sanity for Home Buyers?
Finally, some sane-sounding advice on whether to buy a house now or wait for a deeper price decline. Obviously now's not the time to be speculating, but trying to guess where prices are going to be a year from now if you're buying a primary residence is just looking into the ol' crystal ball. Maybe prices will stay flat for another year or maybe they'll fall some more, but it's tough to question the long term value of investing in a home to live in (assuming of course that it's bought reasonably -- not on a 100% financed negative amortizing loan or something like that). Didn't Lynch say to do that before buying stocks?
An important disclosure here is that I am talking my own book to some extent since I just bought my first home. I don't necessarily have a rosy outlook for the next year (or maybe two), but longer term I still see it as a good investment. Besides, my San Francisco rent is killing me.