To buy or to continue renting? (long)

So, DH and I moved to Pittsburgh this past summer for his job. Our original plan was to rent for a year to get to know the area and where we would want to buy.

Now is the time when we would start house hunting, and I'm seriously unsure if buying now is the right thing to do. The market out here is bad, probably worse than LI, there are a ton of houses on the market and many have been there for a long time.

Our plan is to stay here 4-5 more years and then hopefully move back to NY. I'm just afraid we'll buy something, the market will continue to drop, and 4 years from now we'll be stuck with a house that wont sell. Our apartments rent is fairly low and we only pay electric.

What would you do- rent for 4 more years, or buy with the market the way it is now?

Re: To buy or to continue renting? (long)

I am in the same boat!

We rent, its not a bad rent that we pay. We are ready to buy, but my DH can get transferred at anytime and we really want to be able to follow the money.

Rates are low, its a buyers market...but do you still buy if you are going to sell?

Right now, our current plan is to only put a little down on a very small house. When the time comes rent it out and move on.

Re: To buy or to continue renting? (long)

There are a couple of things to consider.

I think first lenders are being very tough and so (and I am sure you are) you want to be as attractive as possible to receive the best rate and terms. Also, you'll want to make sure you have something to put down as the 100% financing is gone (not sure if this is a consideration, if not, disregard).

I personally think that in 5 years the market will be better and buying in 2008 may be a good investment. But, think about what the future can hold.

Personally we are stable and knowing that we are living in this house till the end of our days so I am not worried about a few year difference per say. I do want my home to appreciate well for financing reasons but I don't have the worries (as of right now) of selling.

I'd wait until the summer and make a better decision then. I think we'll have more clarity of the situation. Plus, not knowing Pittsburgh...the market may not be as soft as its going to get.

Re: To buy or to continue renting? (long)

Re: To buy or to continue renting? (long)

im in the same boat, although im ont planning on moving right away not sure if i want to buy yet......everything is so unstable!!!! we are def gonna hold off til the fall at least

Re: To buy or to continue renting? (long)

I'm certainly no expert, but I would now is the best time to buy. In 5 years the market should have rebounded.

If you have the cash, take advantage of the dropping home prices.

Re: To buy or to continue renting? (long)

In 5 years from now the market will have gotten better. Its like the stock market in 2000 it took about 3 years to get back to normal. Now and in the next couple of months to the end of 08 is a great time to buy as prices plunge. Do you want to pay more than you have to. I would rather get the nicesest house for the cheapest price. We are going to really start looking in spring 08