We'd hoped things would level off, but it's clear now that things are likely going down for a while. We're in the Hudson Valley, NY. Our bad reason for buying - hoping to sell in 4-5 years at enough profit to buy into a cohousing (community living) project. Seem it would've been better if we rented, saved the extra few thousand a year, then bought into the cohousing. How can we still save an extra $20-$40k over 4-5 years? Would like one of us to work less as well - it takes both of us working full time to cover it all. Can we get out of this house?
2007-07-27 08:24:53 · 3 answers · asked by JAppleseed013 2 in Business & Finance ➔ Renting & Real Estate
How long do you think it will be before prices level off or even go back up?
2007-07-27 08:51:59 · update #1
If you only financed 80% and do not have a penalty for paying off early then you most likely can but will lose money. Now it is a buyers market, the problem is there are not very many buyers due to the tightening of credit caused by the sub prime fallout, which by the way is starting to also hit those with good credit. I see continued falling prices, (not the double digit increases of the past) and rising interest rates, with incomes remaining relatively flat as they have for the last 10 years.
2007-07-27 08:41:58 · answer #1 · answered by Pengy 7 · 0⤊ 0⤋
There are lots of people who buy houses, hoping to resell them in a short time for a significant profit.
It works if the house you bought is sub-par for the neighborhood for one reason or another. You upgrade the house to be among the most desirable in the neighborhood. General wisdom is that inexpensively prettifying the place (fresh paint, etc.) or upgrading the kitchen and bath will return the most bang for the buck, but if people have been scared of buying the house because it has a wet basement or terrible windows, etc., that can make a big difference, too. In today's market, houses that are in ready-to-move-in condition are moving relatively fast, at relatively high prices.
If you're having trouble figuring out how to afford the house, it is going to take a lot of courage to get in deeper, in order to take a quick profit, but that sure sounds a whole lot better than taking a bath. Between a 7% sales commission and various closing costs, simply reselling at the price you paid is not a pretty prospect.
2007-07-27 15:42:55 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Not sure if you want to do it but mobile home/double wide? Those depreciate but you'd save since they're cheap. Plus check to see if there are penalties for selling so soon as far as taxes and your mortgage company.
2007-07-27 15:32:55 · answer #3 · answered by DKA 3 · 0⤊ 0⤋