Why buy in Portland when the market has slowed?

A good rule of thumb when investing in Real Estate: When prices are up - sell. When prices are down - BUY!

2010 and 2011 represent a rare buying opportunity. For those waiting for prices to fall, the time has come. Reliable fixed rate mortgages are still available at historically low interest rates. A wide range of houses, condos, rental properties and urban lofts are available at wholesale prices. This makes 2010 and 2011 the years that will be remembered as a great time to buy a home at a fabulous price.

The Portland market is one of only a few markets across the nation that is still showing positive growth! It's easy to see why this area is so desirable. Portland is a beautiful, clean city with a lot to offer its residents. We have great schools, an advanced transit system, temperate weather and a plethora of outdoor activities! Also, there are tight controls on development in the Portland Metro area which helps create demand. When buying, you always want to think about resale!

In recent years, the tide was tipped in the seller's favor. Portland area homes were in high demand which drove prices up. At times, this made it hard for a buyer to find their ideal home in their price range. In today's market, sellers are more willing to negotiate, there is sufficient inventory and prices are historically low! The bottom line is this, if you plan on buying real estate in the coming months, now is the time to take advantage of a variety of economic factors that will work in your favor.

TOP 7 Reasons to Buy a Home! 

1. Pride of Ownership
Pride of ownership is the number one reason why people yearn to own their home. It means you can paint the walls any color you desire, turn up the volume on your CD player, attach permanent fixtures and decorate your home according to your own taste. Enjoy the freedom to do what you want to your home. After all, it's yours to do what you wish. And, with any improvements you make, you have the ability to benefit from your investment.

2. Appreciation
Although Real Estate moves in cycles, sometimes up, sometimes down, over the years, Real Estate has consistently appreciated. The Office of Federal Housing Enterprise Oversight tracks the movements of single family home values across the country. It's House Price Index breaks down the changes by region and metropolitan area. Many people view their home investment as a hedge against inflation.

3. Tax Breaks
Home ownership is a superb tax shelter and our tax rates favor homeowners. Mortgage interest and property taxes are fully deductible on your tax return (mortgage interest is the largest component of your mortgage payment). Owning a home is a great way to lower your tax bill.

4. Capital Gain Exclusion
As long as you have lived in your home for two of the past five years, you can exclude up to $250,000 for an individual or $500,000 for a married couple of profit from capital gains. You do not have to buy a replacement home or move up. There is no age restriction, and the "over-55" rule does not apply. You can exclude the above thresholds from taxes every 24 months, which means you could sell every two years and pocket your profit--subject to limitation--free from taxation.

5. Home Equity Loans
Consumers who carry credit card balances cannot deduct the interest paid, which can cost as much as 18% to 22%. Equity loan interest is often much less and it is tax deductible. For many home owners, it makes sense to pay off debt with a home equity loan. Consumers can borrow against a home's equity for a variety of reasons such as home improvement, college, medical needs or starting a new business.