It may seem like an odd question given the current instability of the U.S. economy, but actually there are quite a lot of good reasons to think about buying a second home at the moment. Whether you are thinking about a long term investment, renting for extra income or a holiday home, this might be the time to buy a second home in Arizona.

Reasons to think about buying a second home:

Low house prices – At the end of last month the median price for a home in the Phoenix metropolitan are was the same as in the year 2000!! Home prices are incredibly low at the moment and so now might be the perfect time to pick up a bargain on a 2^nd home.  If your future plans include spending time in the valley of the sun, there’s a good chance a home will cost you more later. 

Low interest rates – Interest rates are at the lowest level since they started keeping track of home mortgages.  This means that if you have the ability to secure a second mortgage you are likely to get a fantastic rate on it. For those who already own a home and have the available capital, a second mortgage would currently be very appealing.  History tells us that huge deficit spending by the government is often followed by inflation.  With inflation come higher interest rates. 

Better than saving – Although property investment can normally be seen as a risky investment it is currently just as risky to invest savings in the bank. What’s more, with interest rates currently so low, you are likely to see a greater long term return and get more for your money in the property market than a savings account.

Extra income – although there are certain overheads when buying a second home, such as tax, the mortgage and even second home insurance, you could still make a lot of money from it. With most first time buyers finding it very hard to get a deposit together in order to buy a new home, the renting market is currently very strong, meaning if you have a second home you can easily fill it with tenants. You could rent the house out to cover the mortgage costs and then sell up once the market improves.

So there you have, it may feel like a risk but actually there are many good reasons to think about buying a second home.  If you have the available capital, time and desire, this could be the perfect time to buy!  Before you make a decision I suggest we spend 20 – 30 minutes looking at what is available and how you can get it.  I can also provide you with references from other clients that have decided that this could be the perfect time to buy!

Jerry Raviol
West USA Realty
http://www.houseaz.com
602-695-5478