5 REASONS IT'S SMARTER TO BUY THAN TO RENT- 1. Real estate keeps pace with or exceeds the rate of inflation. Even in areas hit harf by foresclosures, virtually all of them have shown substantial increases in real estate values when viewed in the long term. 2. The lowest interest rates since the 50's. Consider buying now - here is why; With the government running huge deficits, it will have to sell treasury bills to cover the debt. Investors are feeling skittish about purchasing these securities. 3. Increasing interest rate add up quite fast. An interest increase of just 1 percent results in about a 25 percent increase in interest costs over the life of a 30 year fixed-rate loan. 4. The market may be close to bottomed out. Take a look at your local market in your specific price range. Look at the number of months of inventory now vs. six months ago and one year ago. If the number of months is declining that lets you know that your market may already have reached bottom. 5. Build your wealth - NOT YOUR LANDLOARDS. When you purchase you lock in a payment at today's rate. Assuming that inflation is average - 2.54 percent per year - 10 years form now your monthly payment will be the equivalent of 75 cents on the dollar.

HAVING YOUR HOUSE APPRAISED - READ THIS!!!!!!!!!!! Flawed appraisals seem to be killing deals in some areas. The inappropriate use of distressed and foreclosed properties as comparables in determining home values may be driving prices down in some cases. This practice prepetuates the cycle of declining home values in some markets. If you are having your home appraised you may want to check out the comps the appraiser uses to determine value. If necessary, argue your poing.

THINKING OF BUYING A HOME SOON? HERE ARE SOME FACTORS YOU SHOULD CONSIDER- 1. Although the market seems to be stabilizing some and home prices were down about 2.5% last year the recovery is still expected to take quite some time. You should factor his into your decision to buy. 2. With regard to potential price declines, even though most of todays sellers have some difficulty selling at current market value it's unlikely they will be willing to compensate you for a potential event that may not happen. What you really need to know is that you are not paying too much. 3. The more information you have about the market, in the area you are looking, the better. The market is different in different locations of the country. The big question is, is the market you are looking in healty. If it is consider yourself in a near normal market and act accordingly. 4. Take a look at the local economy. Are jobs being created or lost? Are public services being cut? The answers to questions like this will tell you a lot about your market. 5. If there are an oversupply of homes in your market you may have a compettive edge. 6. The inernet is a great source of information. However, it does not replace of seeing a home that interests you nor does it replace the value of a good real estate agent. 7. The best way to avoid overpaying is to look at enough homes that have the features you are looking for. You can actually become as good (or better in some cases) as the agent you are working with. They need to be up to snuff in all price ranges - which can be a daunting job. You only need to be up to snuff in the price range you are looking in. 8. Create files for flyers and information on homes you look at so you can catorgize them. Or better yet get hooked up with an agnet that can help you achieve that. Some agents can set you up with your own web site to help you manage your search. GOOD LUCK IN YOUR SEARCH FOR A NEW HOME!!!!!!!!!!!!!!