Since the first day of your job, you have been thinking of buying a house. Now after several years, you have finally decided to go ahead with the purchase. After all, the property prices have not moved much in last couple of years.
But though a slowdown has helped your case, it has also confused you. Now you are now confused whether to purchase the house or wait for prices to come down more.
This is not an easy question to answer. But few pointers will help you decide objectively.
It is true that the demand is not increasing as it used to. But surprisingly, the property prices have not fallen. Though they haven’t risen too. So it is not that even if you wait for some more months or a year, the prices will fall much. And that is because as soon as the price falls, there will be demand at lower levels which will once again push up the prices.
Also, the current scenario points towards falling interest rates. The rates have already fallen by a lot and are expected to fall further. This is a blessing in disguise for homebuyers. Property prices are not rising. Interest rates are falling. So if you need to buy a house for personal use, then slowdown should not affect your decision. You should actively look for properties that are suitable for you as very soon, you might get a good price.
But for those who want to invest in property as only an investment, then it makes sense to wait for some more time. There is still no clarity as to how deep will be the impact of government’s measures against black money floating in real estate sector. So if these measures result in fall in property prices, you will be saved from possible losses. And also, you will get to buy the properties (even as investments) at very low rates.