Based on prices, mortgage rates and rising rents, there may have never been a better time to purchase a home than right now. Here are some reasons why you should consider buying now instead of when the Spring market hits.
Price Increases – The costs of building are continually going up. Especially if you are going to buy new construction this year, NOW is a way better time to do so before the builders raise their prices for the spring Market. If you are a first time buyer, you will probably pay more both in price and interest rate if they wait until the spring
Mortgage Rates – It is likely that you have heard about interest rates in the past year. The talk has been that they are going to keep rising little by little and most economists believe that when the spring market rolls around and our economy is still prosperous the interest rates are going to make significant increase over the next year, some say that the average interest rate at this time next year will be above 5% which is a full point above where we are now.
Less Competing Offers – With less buyers out looking at this time, it is less likely to have competing offers on the same house, which means that you will get a better deal! When the spring market rolls around and there are more buyers out looking we will more than likely have a very competitive market which may include paying over the list amount for the house you want and risking paying over market value for your home.
Quicker Transactions – Right now there are fewer real estate transactions than there will be in the spring. Which means that the appraisers, lenders and home inspectors are less busy, which means you get to move into your home quicker! If you wait until spring with all of these services are very busy, it leads to more stress, and the possibility of a delayed closing.
And last but certainly not least….
Owning a home helps create wealth – Either you are paying for your own mortgage or you are paying your landlord’s mortgage. In a recent study it revealed that the net worth of the average homeowner is 30 times greater than that of a renter.
So are you ready to purchase a home? My best advice would be not to wait until Spring and start looking today! Schedule a home buying consultation with me today by phone, email or text!