Bear Market Winners: First-Time Buyers
The housing bust is creating a new group of winners: first-time home buyers. People who sat on the sidelines — often watching wistfully as their friends became homeowners — are suddenly in a position to grab some great deals.
—Mary Pilon, “For Some, It’s Finally Time to Dive Into Housing Market“; The Wall Street Journal (2/11/09)
Check out this survey piece in the Journal profiling recent, first-time home Buyers in Phoenix, Seattle, and Connecticut. According to the article, the various incentives now accumulating for first-time Buyers may help blunt their fears of falling prices.
It’s also the case that the housing downturn has created a new *mantra amongst would-be home Buyers.
Just like a rising stock market taught a previous generation of investors to “buy the dips,” falling housing prices have persuaded many prospective Buyers that “waiting pays off.”
*The best mantra? Don’t do what everyone else is doing — and never do anything reflexively.