The "double dip" in housing is now official. And the premier housing economist Mark Zandi of Moody's Analytics says it's a good time to buy, if you can afford it. Going back to 1986, the buy vs. rent ratio has never been so low.
"I think the arithmetic is such that if you plan to live in your home five or more years, then you should really consider buying a single-family home in most parts of the country at this point in time," Zandi said. "Prices have fallen so far, that single-family housing now is very, very attractive; very affordable [...] and it's now even attractive relative to renting."
"[H]omeownership has been such an important part of the American Dream, because people have used it as a way to save. And it's been a relatively safe way to save. Now of course, as we know as we have seen, there are ups and downs. But in general it's been a pretty good investment."
Just don't try to time the market; base your buying decision on your personal needs and financial wherewithal.
By Chris Arnold
June 8, 2011 | NPR
