Commack Real Estate: Now is the Time to Buy

By Craig Axelrod
September 21, 2009

The real estate market, including the market in Commack New York, has been hit hard over the last several years. This nationwide recession has certainly had an impact on the real estate market, creating opportunities for those who are ready to buy.

Interest rates remain at historic lows, making real estate in Commack more affordable than ever. Interest rates typically range from 4 to 6%, roughly half of what the rates were just a decade ago.

If you're getting ready to buy a home in, whether you are a first time home buyer or moving from an existing home, and there were several questions to ask yourself:

Is buying a home now a good long-term investment? Given that the real estate market has fallen 20 to 30%, you're buying a home at a deep discount to prices just three or four years ago. You're buying at $.70 on the dollar. When prices return to normal levels, you will see an appreciation of almost 50%.

Are you a good investor? Most people are not. They lack the discipline to make long-term investments, and often put off investing and saving-until it is too late. When you invest in a home, you are making a long-term commitment. This, in a very real sense, represents forced savings. Each month, you have the opportunity to build equity in your home as you pay down your mortgage. Historically, real estate appreciates significantly over time. Taken with a long-term view, real estate remains one of the best investments available.

Am I buying in the right area? Commack New York is a wonderful area to live in and to raise a family. An established community, it provides the resources of a major suburb with high quality of living standards. With new construction, you are able to get the house of your dreams. The builders have designed wonderful homes, and very often you are able to customize to suit your needs. Given the current economic conditions and reduced real estate prices, now is an excellent time to buy your first home or your next home.

Are there advantages and buying new construction? Yes. New construction tends to be larger, more current and can easily be customized to suit your needs. In contrast? When buying an existing home, you must very often go through expensive renovations to tailor that home to your needs. New construction offers you the chance to make those alterations before the houses built. Generally, it cost 2 to 3 times as much to make alterations to an existing structure as opposed to simply changing the plans on a house that is yet to be built.

What questions should I ask of a home builder?

If you've never bought a new home before, there's several things that you should ask the builder:

1. Does the builder have experience within the county? To build a home, you need permits, zoning approvals, and compliance with county and local ordinances. An experienced builder is aware of these requirements; and inexperienced builder is not. Mistakes here can be extremely costly and presents massive delays.

2. Does this builder put up one house at a time, or have experience in building developments? Often, you are better off with the builder who works on multiple projects at once. While this may sound counterintuitive, a small builder who only handles one task at a time works with a limited crew. If any member of the crew-a plumber, carpenter or electrician-is unavailable, your construction may come to a halt for weeks. In contrast, a larger builder has multiple craftsmen available to him, and can deliver a steadier construction project.

3. Do you want to be in a new community or a single renovated home within an old community? The neighborhood around you not only impacts the resale value of your home, but also impacts your lifestyle. If you are in a community with dilapidated homes, and yours is the only new construction in the area, your home will feel out of place. If the builders will bring a new community, and you are one of the new homeowners in that new community, there is a much better fit for you and your home. Additionally, all of the people living in that community will be moving in at about the same time and will have the opportunity to form friendships and relationships. If you are moving into a block with families that have lived there for decades, you may be the outsider and maybe quite some time for you to "fit in"-if at all.