We came to an agreement this Saturday with the builder, but we didn't sign a contract yet. I told the builder in advance that we wanted to have a few days to check out the contract. They understood (they understand everything in this market :-) that, Tuesday we'll sign the contract. It will be a SUPER Tuesday indeed.
STRESS, stress and stress. After our deal with the builder we went to lunch with grandpa and grandma. Lisa was so full of stress she threw up afterwards... We didn't get a lot of sleep the last few days / weeks. We felt really bad that Saturday and Sunday. That is probably a normal reaction when you buy your first home / take such a risk.
At this time we were wondering if we could have been more agressive with our offer. An extra $5000 off maybe but when you run the numbers we bought a nice home, at a decent almost cheap price, on our dreamlot that we are able to afford and while interest rates are low.
Will the housingmarket drop? Most certainly it will, but in any event the price per sq ft, the location of the community, the lot, Naomi's school is close, tax deductions, are all positive facts that helped us to make this well thought decision.
In a short time frame we made a bad decision (1-4 years), but in the longer term I think we bought when no one else was buying and were able to get a lot of discounts from the builder. We're at least covered for the next drop in price of the housingmarket :-)
The average home sold in Maricopa is about $175000, a lot of people are able to afford that. If you would put 10% down, you would have a monthly payment (30y fixed) of $880. Rents start at 800, so in my opinion prices are within 20% of a bottom.
I always use this quote if I want to buy something (example this house or Agfa-Gevaert) when no one wants to buy:
"You can't buy what is popular and do well."
Warren Buffett.
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