Check out these four great reasons to consider buying a home this winter instead of waiting.
1. Home Prices Will Continue to Rise CoreLogic’s latest Home Price Insight report revealed that home prices have appreciated by 5.6% over the last 12 months. The same report predicts that prices will continue to increase at a rate of 4.7% over the next year.
2. Mortgage Interest Rates Are Projected to Increase for Home Buying. Freddie Mac’s Primary Mortgage Market Survey shows that interest rates for a 30-year mortgage have hovered around 4.8%. Most experts predict that rates will rise over the next 12 months. The Mortgage Bankers Association, Fannie Mae, Freddie Mac and the National Association of Realtors are in unison, projecting that rates will increase in 2019. An increase in rates will impact YOUR monthly mortgage payment. A year from now, your housing expense will increase if a mortgage is necessary to buy your next home.
3. Either Way, You are Paying a Mortgage when you buy a home or rent. There are some renters who have not yet purchased homes because they are uncomfortable taking on the obligation of a mortgage. Everyone should realize that unless you are living with your parents rent-free, you are paying a mortgage – either yours or your landlord’s. As an owner, your mortgage payment is a form of ‘forced savings’ that allows you to build equity in your home that you can tap into later in life. As a renter, you guarantee your landlord is the person building that equity.
4. It’s Time to Move on With Your Life The cost of a home is determined by two major components: the price of the home & the current mortgage rate. It appears that both are on the rise. Would you wait if they weren’t? Look at the reason you are buying and decide if it is worth waiting. Whether you want to have a place that your family feels safe, a place for your children to grow up in or you just want a change, maybe now is the time to buy. Buying sooner rather than later could lead to substantial savings.