Real estate and mortgages

Some analysts argue that with each passing week there seem to be mounting signs of a pending crash in real estate prices. Real estate brokers’ inventory of unsold homes has been on the rise. Another troubling sign is the increase in negative amortization, interest only, and adjustable rate loans. With rising interest rates, the adjustable rate loans will tart to re-adjust over the next 1-2 years, forcing some to lose their homes. The economy looks fairly healthy right now, but should the economy go into a tailspin then a decline in home prices would be even more likely.

Which brings us to an investment idea. Now might be a good time to become pre-approved for a loan on an investment property should prices decline. A high percentage of new condo purchases have been bought as investments. Should a high percentage of these investors get cold feet and run for the exits, then prices could decline rapidly and present a buying opportunity. You can learn more about mortage loans at an informative and easy to navigate site, called The Mortgage Resource Center.

One Response to “Real estate and mortgages”

  1. Merry says:

    It seems like buying a new house is not a good idea right now. It might drain your saved up money in the bank because of the increasing expenses. Before buying your dream house, you should make sure that you have enough cash to get you through your life.