leecorsoIn a recent article published in the Wisconsin State Journal the question is raised about the financial impact and risk of purchasing a home in today’s market.

While nationally we are seeing double digit appreciation it’s important that in our area we keep in mind that we have historically seen a much more steady market than the rest of the nation.

If you read into the article, and look beyond the scary headline, you will note the author addressing one key factor of all real estate news that consumers should always keep in mind: Real estate is local.

If you are considering a move in the near future you may want to look into the following:

1. Talk to an agent. Local agents can cut through the fluff of national reports and share information that is relevant to market conditions in your area.

2. Ask your agent about prices, days on the market, months of inventory, absorption rates, and odds of selling. Get the real data that shows exactly what’s happening in your area or neighborhood.

3. Look into the tax benefits of purchasing a home. Home ownership offers many tax benefits that can save you money over time. I’d be happy to run you through a rough estimate of some of the savings you can expect from home ownership, but for a detailed analysis you’ll want to talk to your accountant.

4. Run the numbers. See how your monthly rent payment stacks up to an expected mortgage payment and home equity build up over the course of a few years.

(Read the article: “Buying a House is Riskier Now, UW-Madison expert Morris Davis tells Wall Street Journal”)