On the fence about buying a home this summer? Here are four reasons from industry resource KCM about why now is the time to act.
Prices will continue to rise. CoreLogic’s latest U.S. Home Price Insights reports that home prices have appreciated by 3.7% over the last 12 months. The same report predicts that prices will continue to increase at a rate of 4.8% over the next year.
Since home values will continue to go up, waiting for prices to go down in order to get a better deal makes little sense.
Mortgage rates are expected to rise. Freddie Mac’s Primary Mortgage Market Survey shows that interest rates for a 30-year fixed mortgage have started to level off around 4.3%. However, most experts also 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 rates will increase by this time next year.
An increase in rates will impact YOUR monthly mortgage payment. A year from now, your housing expense will be greater if a mortgage is necessary to buy your next home.
Owning or renting, you’re paying a mortgage either way. Some renters have not yet purchased a home, 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 have equity in your home which you can tap into later in life. As a renter, you guarantee your landlord is the person with that equity
It’s time to get on with your life. The cost of a home is determined by two major components: the price of the home and the current mortgage rate. It appears that both are on the rise.
Examine the actual reason you are thinking about buying and decide if it is worth waiting as costs will increase in the months ahead. Whether you want to have a great place for your children to grow up, greater financial security for your family, or you just want to have control over renovations, now could be the time to buy.
Thinking of Selling Your Home Yourself?
According to a recent article in American Life Style magazine, people who sell their own home work more than necessary and end up with less money in their pockets than they would if they engaged a professional realtor.
While we all know someone, who knows someone, who sold their home themselves, only about 8% of For Sale by Owners (FSBOs) are actually successful.
The article also reports that about 38% of FSBOs are sold to someone, who has a relationship with the seller. In this case, the final price is 36% less than actual market value!
American Life Style also cited a study showing that 49% of those selling their homes themselves do not even actively engage in marketing activities. Those who do, depend on yard signs and word of mouth, both strategies that may have been successful in the previous century, but not in today’s social media driven society.
If you’re thinking about selling your home yourself, we’d appreciate the opportunity to speak with you to discuss the advantages of working with successful real estate professionals. We can show you how our aggressive marketing plan — backed by the resources of Today Real Estate — can actually save you money and generate a stronger final sales price than you could working on your own. Who you work with matters!
Please contact us via the comment section or call us at 508-568-8191. We look forward to meeting with you.
“Owning a home is a keystone of wealth…both financial affluence and emotional security.” — Suze Orman
Enjoy your week.
Mari and Hank