It’s 2010. Hard to believe that we have entered a new decade. We’ve certainly learned some valuable lessons in Real Estate during the past decade – some old, some new and, quite frankly, some we hope to never learn again. But one thing it has taught us is despite the ebbs and flows, there are many great reasons to buy real estate. So moving into 2010, here are five reasons (in no particular order) to BUY NOW! Check back later for five more. You can email me at mohayer@fhallen.com. I welcome your feedback.

  • Appreciation — Historically, homes values have appreciated. Even though during the past few years we’ve experienced a cooling off and drop off in appreciation, things seem to be on the upswing. Prices across the country are at historic lows, but not for long. Here in Sonoma County, median home prices rose 9% in December 2009 according to the Press Democrat. You can check your area’s appreciation here. If the values in your area seem to be on the way up, don’t delay. I’ll bet those homes are a great deal today. Seriously.

  • Mortgage Interest Deduction — Interest is the biggest part of your mortgage payment. Owning your home is a great tax shelter. Deductions for mortgage interest are still one of the best benefits of home ownership.

  • Interest Rates — Rates are at an all time low. No kidding. Today’s rates may be the best we’ll see in our lifetime, but we’re already seeing upticks and most analysts believe that rates have nowhere to go but up. Eric S. Rosengren, president and chief executive of the Boston Fed, believes that interest rates will go up by Spring, 2010, which he discusses in an article here. So act now and you’ll be sure to get the best bang for your home purchase buck.

  • Leveraging Your Asset — First, find your dream home. Then you can make a down payment of as little as 3.5% of the purchase price in the case of an FHA loan. Next, earn returns on the total value of the property. All the while, you get to live in your investment. Beautiful.

  • Property Tax Deductions — Property taxes paid on your primary residence, as well as vacation homes, are fully deductible for income tax purposes. Specifics on deductions can be found on the IRS site.

There are so many more reasons to act now and take advantage of home ownership. So, buy NOW, seriously! Low rates, low prices, big tax deductions and leverage. Whew, what more could you ask for? Here are five reasons, and five more are to follow, so stay tuned for part two of Top Ten for Twenty Ten—reasons to buy a home now. If you have questions or would like additional information, please feel free to contact me at mohayer@fhallen.com or go to my website at www.marthaohayer.com.

Posted by:Martha O’Hayer