With the volatility of the Oahu real estate market in the last few years, many people are unsure about purchasing real estate. Is it wise to commit yourself to real estate in Oahu? Should you continue to rent, or should you take the leap and own the home of your dreams? Here are some excellent reasons to go ahead and buy now rather than wait for the vagaries of the market to calm down and buy later. You might find that you are never satisfied with the stability of the real estate market and miss out on the chance to purchase your own house.
For one thing, renting is simply throwing your money away. You're earning no equity, you're not enjoying any tax breaks, and you're not working toward owning anything. Besides, Hawaii is running out of buildable land. There are fewer and fewer new houses being built on Oahu every year, and at a certain point, the demand will severely outpace the supply. When the state decides that there will be no more building, the prices will start to go through the roof. Why wait until this happens? Buy now, while the prices are still low enough to consider making a purchase.
The prices of real estate in Oahu and all over Hawaii have been going down for the last few years; no one can know when they will stabilize, but you will know for sure that you're not buying when they're at their peak. Besides, with long-term ownership, it's possible to ride out any sort of market fluctuations. Ownership also gives you control of the future of your home; as landlords start to sell off their properties to cash in the equity, their tenants are left foundering, wondering why they didn't take advantage of buying a home when the market was favorable.
The advantage of the landlords trying to get rid of property around Oahu is that there are more homes on the market now than there have been for a long time. The selection can not be beat; you're bound to find the home that perfectly suits your family for the price that suits your budget. Find a great home, and start investing into the best automatic savings plan ever--your monthly payments gain you equity into your home, and it doesn't matter whether the home loses value. If you continue to make the payments for the course of the loan, in thirty years you will own your home outright and live rent-free.