“Wait vs Rate” – The Great Debate!

Have you noticed your clients “sitting on a pole” waiting for the tide to go out?  Sure – the correct statement would be “sitting on the fence” waiting for prices to continue to fall? Houston area Realtors representing buyers in the Houston Texas market are well aware of the effects that waiting to purchase will have on the housing recovery throughout Texas.

But – the real question is whether home buyers understand the “true cost” of money and how waiting to purchase a home will negatively impact their overall “wealth position” in the long run as interest rates increase?  

It is true that a 1% increase in interest rates negates a 10% decrease in the price of the home as the payment will be the same each month today versus waiting for home prices to fall (“click” on Chart below and view highlight in yellow).

 

Even if prices decrease 10% and interest rates increase by as little as ¼%, you lose!  Why miss out? The cost to wait will end up costing so much more in the end – thus negatively impacting your family’s “wealth position” as you amortize your mortgage over a 15, 20 or 30 year period!

The point is clear – Now is the time to buy!  Rates are expected to go up and prices are at or almost at their bottom.  Rental prices are increasing.  In 78% of the Country is it cheaper to own than rent.  It’s a buyers’ market but deals won’t last.

If you don’t believe the numbers above, check out the following publications (print date) that have recently published articles to substantiate the above:

Well informed Realtors understand the great impact on “Wait vs Rate” and have shared this information with their buyers. Now is the time to buy!

Are your sellers or buyers in need of “free” mortgage consulting prior to selling or buying? Be sure to call our office at (713) 528-0333. Get out there!

Win Friends – Influence People

It is said that he who has the most friends wins! It is also said that when you “win” friends you influence people!

The Power of Social Networking is undeniable and a “force” that is to be reckoned with. Are you still fighting the social media way of communication or have you embraced it? There are many platforms of social media and the biggest of course is Facebook.

 

How influential are you with Social Networking? Who are your “friends”? Who are you “friends” with? Who are you “linked-in” to? Who’s “linked-in” to you? Who are you “tweeting”? Who are you following? Who’s following you? Who are you listening to?  Who’s listening to you?  Welcome to the craze of social media.

NBC Today Show – June 7, 2011

Recently a girl in Germany posted a Public Event on Facebook regarding her 16th birthday. She thought she had posted this to her “friends” only and did not realize that it was posted to an open account.

An unbelievable 15,000 people responded on Facebook and 1,600 came out to her home town to celebrate her 16th birthday. What was supposed to be a birthday party turned into a “block” party.

Wow – talk about success with Social Networking! How many of you would like to have a 10% conversion on your social networking posts as leads in your pipeline? The answer of course is everyone.

If you have yet to enter the world of Social Networking, it’s never too late to win friends to influence people!