I want to thank Dan Givens for his wonderful “Lower supply should keep housing prices stable” piece. Well done, Dan.
His article provided the consumer a valuable service, a wonderful contrast to the disservice of gloom and doom only reporting. While I believe we can all agree that most Ada County housing markets have recovered and now need to stabilize allowing annual price increases to return to values long established by empirical data, we can also agree that now is still a great time to buy and sell real estate. Historically interest rates want to live at 7 percent. Current rates hover at 4 percent (rates and terms vary depending on one’s creditworthiness). Generally speaking, this means one will spend $3 less for every $1,000 financed. If one finances $180,000 amortized over 30 years this means one’s payment at 4 percent will be approximately $339 less than if rates were 7 percent. That’s huge. That’s still good news. So, absolutely, even though the screaming deals are largely over, there is still reason to smile and smell the roses.
Kathy Carlson, associate broker, Boise