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Liberty Rental Properties
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Timing the Market is a Game You Can’t Win
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All the market fundamentals show that now is a good time to buy a
home. Potential home buyers who try to “time the market” in hopes of buying at
the trough are likely to lose out. Here’s why.
· Just as no one can accurately predict the peaks and valleys of the stock market, the same holds true for housing.
· Fence-sitters waiting for the absolute best deal could end up literally waiting for years, and most likely their guess on market timing would be wrong. Meanwhile, those who buy now will reap the gains of home price appreciation.
· For example, those who purchased homes in the early 1990s during the last big economic and housing downturn came out as big winners. The median price of a new home in 1991 was $120,000. In 2005, it was $240,900 – just over double in price.
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