It goes without saying, if you don’t need to buy right now it is better to wait. However there are cases where buying may be necessary for an individual’s particular situation.
If you absolutely had to buy a home in Temecula right now (1031, tax reasons, parking dough, credit situation, job relocation incentive, etc) buy something like this now, then sit tight, get your dream home later in the next few years.
It will rent in the future with at worse a minimal negative, which you will make up for with the deal you get on your ideal home (Morgan at $75-90 in next few). And 10 years later, you’ll make some money.
That being said, if I had to buy, this is where I would in Temecula.
http://redfin.com/stingray/do/printable-listing?listing-id=1396812
Yea I know I’ve said Morgan will be cheaper, and it will, but this isn’t bad. The original sale price of $562 is real, the neighbors are ok (or were) and the home layout isnt bad. As a future rental, you will lose money as this house will cost you $2k mo pay, 150 HOA, and 500 taxes, so somewhere around 2500-2700, and rental for this house is $2k tops. So as I type this I’m talking myself out of it. Still this is a groundbreaking deal in Morgan.
http://redfin.com/stingray/do/printable-listing?listing-id=834508
Now I know former neighbors peruse this site, so I don’t want to give up my secret identity, but I do now the Morgan streets well as I walked them with the dogs frequently while we were there. This K Hov model was ok, Tudal used to be the showcase street, and at $406 this is less than K Hov sold the home for. If you are single, you can stay in the master, and rent the 4 other bedrooms to Pechanga cocktail waitresses and almost cover your payment. Rent based on their shifts so the house never gets crowded.
http://redfin.com/stingray/do/printable-listing?listing-id=1408968
Another Morgan deal that almost pencils out as a good deal using rent/own calculators. I will say that Morgan was the nicest of the neighborhoods we had homes in, and neighbors were great. This is a McMillin home.
Again, I will stress DO NOT BUY. But if you have to, go into one of these, with a qual letter, evidence of your down, say willing to do a quick escrow, and offer a strange number that is 10-15% less the asking, and that seller covers all closing costs. By strange number, if they are asking $406k, offer $369,888. For some reason I’ve found it confuses the seller, they spend too much time wondering why that number, and end up cutting the price more than they originally thought.
