Buying a 2nd Home?
During this time, it is even harder than before to buy a new home if you already own a home and need to sell it in order to buy the new one. Homes are more difficult to sell right now and it can feel risky trying to sell one home and get in to another since there are so many foreclosures and short sales on the market which can time-to-time take an extended length of time to complete.
Housing prices have generally decreased 20 to 30 percent, depending on where you live. Due to the uncertainty of selling/buying the 2 homes, you may want to consider how comfortable you are with owning two homes, or you could consider getting renters to your current home. The rental income will need to be sufficent enough to keep your debt-to-income ratios low when you add on another mortgage payment to responsibility.
Most of important of all, in this market, you do not want to buy before you sell. Make sure to get a very strong offer on your house before putting an offer on anything else.
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