Tag Archives: #makeyourmovewithmari

Why Homeowners Are Selling Now

Some people believe there’s a group of homeowners who are reluctant to sell their houses because they don’t want to lose the historically low mortgage rate they have on their current residences. You may even have the same hesitation if you’re thinking about selling your house.

Data shows that as of this April, 51% of homeowners have a mortgage rate under 4%. And while it’s true mortgage rates are slightly higher than that right now, there are other non-financial factors to consider when it comes to making a move. Your mortgage rate is important, but you may have other things going on in your life that make a move essential, regardless of where rates are today.

As Jessica Lautz, Vice President of Demographics and Behavioral Insights at the National Association of Realtors (NAR), explains: “Home sellers have historically moved when something in their lives changed – a new baby, a marriage, a divorce, or a new job….”

So, if you’re thinking about selling your house, but hesitating, it may help to explore the other reasons homeowners are choosing to make a move. The 2022 Summer Sellers Survey by realtor.com asked recent home sellers why they decided to make their move. The visual below breaks down how they responded:

Top Reasons Homeowners Are Selling Their Houses Right Now | MyKCM

As the visual shows, an appetite for different features or the fact that their current home can no longer meet their needs topped the list for recent sellers. Additionally, remote work and whether or not they need a home office or are tied to a specific physical office location also factored in, as did the desire to live close to their loved ones.

If you, like the homeowners surveyed, find yourself wanting features, space, or amenities your current home just can’t provide, it may be time to consider marketing your house.

That’s what we did a few months ago. Our three bedroom, two bath Cape on a corner lot with a swing set in the backyard served us very well for 28 years. But, it had become too much space with too many stairs and a yard that was getting too big to take care of. (And the swing set was rarely used in a recent years!)

For us, the answer was downsizing to a ranch style condo in an over 55 community.

So, even if you’re concerned about mortgage rates, your lifestyle needs may be enough to motivate you to make a change.

If you’re interested in finding out what’s the best path for you, let’s connect at 508-360-5664 or msennott@todayrealestate.com. We can help you walk through your options, so you can make a confident decision based on what matters most to you and your loved ones.

Talk soon…

Mari and Hank

Buyers Are Regaining Negotiating Power

If you’re thinking about buying a home today, here’s some welcome news. Even though it’s still a sellers’ market, it’s a more moderate now than even earlier this year. The days of feeling like you need to waive contingencies or pay drastically over asking price to get your offer considered may be coming to a close.

Today, you should have less competition and more negotiating power as a buyer. That’s because the intensity of buyer demand and bidding wars is easing. So, if bidding wars were the biggest factor that kept you on the sidelines, here are two trends that may be just what you need to re-enter the market.

1. The Return of Contingencies

Over the last two years, more buyers were willing to skip important steps in the homebuying process, like the appraisal or inspection, to try to win a bidding war. But now, fewer people are waiving the inspection and appraisal.

The latest data from the National Association of Realtors (NAR) shows the percentage of buyers waiving their home inspection and appraisal is declining. A recent survey from realtor.com confirms more sellers are accepting offers that include these conditions today. According to their August study: 95% of sellers reported that buyers requested a home inspection, while 67% of sellers negotiated with buyers on repairs as a result of the inspection.

All of our recent sales have included home inspections.

2. Sellers Are More Willing To Help with Closing Costs

Generally, closing costs range between 2% and 5% of the purchase price for the home. Before the pandemic, it was not uncommon to see buyers ask sellers to help with some of their closing costs. This didn’t happen as much during the peak buyer frenzy over the past two years.

Today, as the market shifts and demand slows, data from realtor.com that uses the results of a national survey suggests this is making a comeback. A recent article shows 32% of sellers paid some or all of their buyer’s closing costs. This may be an option available to you when you purchase a home, although we have not experienced it yet with any of our recent clients.

Bottom Line

The extremely competitive housing market of the past few years seems to be easing a bit. The data suggests that the days of over the top offers with no contingencies are waning and sellers now have to negotiate with buyers. This is good news if you’re planning to enter the housing market.

For more information about buying or selling, please request our Fall Guides. The video below explains what you can learn.

…and to find out how the market is shifting, let’s connect at 508-360-5664 or msennott@todayrealestate.com. We’ll share with you the latest data, as well as our recent experience as sellers and buyers ourselves.

Talk soon…

Mari and Hank

Why People Are Making Their Move

Many were surprised when during the height of the pandemic, the housing market remained strong. In fact, it’s credited with getting the country’s economic engine moving again.

You also may remember that many so called experts, well-meaning observers, and not so well-intentioned TV talking heads were predicting disaster. But, the people who were truly familiar with the housing market were urging calm and saying that things would be fine.

Just like now.

“Those who know” are once again looking at the current economic situation and raising doubt about today’s shifting market and questioning what it means for consumers.

While mortgage rates are higher than they were at the start of the year and home prices are rising, you shouldn’t put your plans on hold based solely on market factors. Instead, it’s necessary to consider why you want to move and how important those reasons are to you. Here are two of the biggest personal motivators driving people to buy homes today.

A Need for More Space

Moving.com looked at migration patterns to determine why people moved to specific areas. One trend that emerged was the need for additional space, both indoors and outdoors. (Something that Cape Cod can certainly provide.)

Outgrowing your home isn’t new. If you need office space, crave a large yard, more room to entertain, or just need additional storage areas or bedrooms overall, having the physical space you need for your desired lifestyle may be reason enough to make a change.

A Desire To Be Closer to Loved Ones

Moving and storage company United Van Lines surveys customers each year to get a better sense of why they move. Their latest survey finds that nearly 32% did so to be closer to loved ones.

A similar company, Pods, also highlights this as a top motivator for why people move. They note that an increase in flexible work options has helped many homeowners make a move closer to the people they care about most.

According to Pods: “a shifting of priorities has also affected why people are moving. Many companies have moved to permanent remote working policies, giving employees the option to move freely around the country, and people are taking advantage of the perk.”

If you can move to another location because of remote work, retirement, or any other reason, you could leverage that flexibility to be closer to the most important people in your life. Being nearby for caregiving and or just seeing those who are important to you on a regular basis could be exactly what you’re looking for.

What Does This Mean for You?

As a seller, especially if you need to downsize, there is a strong demand for your property. Open Houses for typical three bedroom, two bath “family” homes continue to be popular and often result in multiple offers.

If you’re a buyer, sitting on the fence waiting for prices to go down or the market to crash is no more than wishful thinking that is costing you money. Reputable experts — not the alleged ones posting on Facebook — say that prices will moderate, but not drop.

Selling and buying a home is a very personal decision. (We just did both.) But, if there’s one universal lesson from the pandemic it is that life does indeed go on. In the face of genuine tragedy and not insignificant logistical challenges, people nonetheless decided to make their move, whether for work, finances, or personal situations.

Is this your time? Let’s connect at 508-360-5664 or msennott@todayrealestate.com to review your options. We’ll provide you with the most up-to-date market data, as well as share our own experience as recent sellers and buyers.

We hope that you continue to be safe during the heatwave. Please pay special attention to those kids (and adults) who may not be familiar with the water, but will jump in stay cool. Thanks.

Best regards,

Mari and Hank

But Where Will I Go?

That’s a question we frequently hear from homeowners who are sitting on the fence about selling.

The answer: wherever you want.

That’s because today’s market is undergoing a shift, and the supply of homes for sale is slowly increasing as a result. That means you may have a better chance of finding a home that will meet your current need, whether upsizing, downsizing or moving to that “someday” community. Here are some options to consider.

Buying an Existing Home Can Give You That Lived-in Charm

According to the National Association of Realtors (NAR), the supply of existing homes nationally has steadily increased since the beginning of the year. The graph below indicates inventory levels are rising, and that’s largely due to more homes coming onto the market and the pace of sales slowing:

Wondering Where You’ll Move if You Sell Your House Today? | MyKCM

As the graph shows, if you’re looking for a home with lived-in charm, supply is rising, and that’s great news for you.

There are several benefits to buying an existing home. Many buyers want to purchase a home with history, and the character of older houses is hard to reproduce. Existing homes can often be part of an established neighborhood featuring mature landscaping that can give you additional privacy and boost your curb appeal.

Plus, timing can be a consideration as well. With an existing home, you can move in based on the timeline you agree to with the sellers, rather than building a new home and waiting for construction to finish. This is something to keep in mind, especially if you need to move sooner rather than later.

Just remember, while more sellers are listing their homes, supply is still low overall. That means you’ll have more options to choose from as you search for your next home, but you’ll still need to be prepared for a fast-moving market.

Purchasing a Newly Built or Under Construction Home Means Brand New Everything

Census data shows there’s an increasing number of new homes available for sale. It includes homes that are under construction, soon to be completed, and fully built. As the graph below highlights, the supply of new homes for sale has also grown this year:

Wondering Where You’ll Move if You Sell Your House Today? | MyKCM

When building a new home, you can create your perfect living space and customize it to your lifestyle. That could mean everything from requesting energy efficient options to specific design features. Plus, you’ll have the benefit of all new appliances, windows, roofing, and more. These can all help lower your energy costs, which can add up to significant savings over time.

The lower maintenance that comes with a newer home is another great advantage. When you have a new home, you likely won’t have as many little repairs to tackle, like leaky faucets, shutters to paint, and other odd jobs around the house. And with new construction, you’ll also have warranty options that may cover portions of your investment for the first few years.

But, keep in mind purchasing a new home could mean waiting a considerable amount of time before you can move. That’s an important factor when making your decision and depends on your personal time line.

Anecdotally, the number of homes available for sale on Cape appears to be increasing based on the time spent at our office and company-wide meetings discussing new listings. We’re also receiving more emails announcing price reduction announcements. Sometimes they involve properties where homeowners waited too long to sell and, as a result, the sale price that a neighbor received six months ago — that the seller wants today — isn’t realistic.

So, is it finally time to make your move? We put our Sandwich home under contract at the end of April and last month moved to an area in Mashpee that we had been thinking about for years. You can do it, too!. (And we received no special consideration from anyone, because we’re realtors.)

We’re happy to answer your questions about the current housing market. Let’s connect at 508-360-5664 or msennott@todayrealestate.com. We’ll provide you with the most up-to-date marketing data, as well as our thoughts based on our experience as sellers and buyers. Talk soon…

Please continue to be careful in the warm weather and pay attention to the kids and adults, who are not familiar with water. Thanks…

Mari and Hank

Should You Buy a Home Right Now?

If you’ve been thinking about buying a home, there’s one question that you’re no doubt asking yourself: should I buy right now, or should I wait?  While no one can answer that question for you, here’s some information that could help you make your decision.

The Future of Home Price Appreciation

Each quarter, Pulsenomics surveys a national panel of over 100 economists, real estate experts, and investment and market strategists to compile projections for the future of home price appreciation. The output is the Home Price Expectation Survey. In the latest release, it forecasts home prices will continue appreciating over the next five years (see graph below):

Should I Buy a Home Right Now? | MyKCM

As the graph shows, the rate of appreciation will moderate over the next few years as the market shifts away from the unsustainable pace it saw during the pandemic. After this year, experts project home price appreciation will continue, but at levels that are more typical for the market. 

As Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), says: “People should not anticipate another double-digit price appreciation. Those days are over…We may return to a more normal price appreciation of 4-5% a year.”

For you, ongoing appreciation should give you peace of mind that your investment in homeownership is worthwhile, because you’re buying an asset that’s projected to grow in value in the years ahead.

What Does That Mean for You?

To give you an idea of how this could impact your net worth, here’s how a typical home could grow in value over the next few years using the expert price appreciation projections from the Pulsenomics survey mentioned above (see graph below):

Should I Buy a Home Right Now? | MyKCM

As the graph conveys, even at a more typical pace of appreciation, you still stand to make significant equity gains as your home grows in value. That’s what’s at stake if you delay your plans.

As of June 20, the median sales price for a single family home on Cape Cod is $694,250.00. While that is certainly higher than just a few years ago, it’s still less than Boston ($800,000) and many surrounding communities. Plus, the Cape also offers much more in terms of quality school systems, recreational and outdoor activities, etc.

So, if you’re ready to become a homeowner, know that buying today can set you up for long-term success as your home’s value (and your own net worth) is projected to grow with ongoing price appreciation.

Let’s connect at 508-360-5664 and msennott@todayrealestate.com to discuss your options. We’re happy to answer your questons.

…and remember last month we sold our home of 28 years and downsized to an area that we had been thinking about for years.

Stay safe this week and please keep an eye on the kids and adults, who are not familiar with the water. Thanks…

Mari and Hank

The High Cost of Waiting

You’ve been thinking about buying a home, but the current economic situation has you skittish. As predicted, Interest rates have inched up. But, they’re nowhere near what you’re currently paying on your credit cards.

Well-meaning relatives, who “know a little something about real estate,” and not so sincere talking heads on your favorite cable news channel are saying you should wait because sales prices are going to drop.

Level off?

Possibly.

Drop?

No.

So, here’s what waiting is costing you.

If you already owned a home, your net worth likely got a big boost thanks to rising home equity. Equity is the current value of your home minus what you owe on the loan. And today, based on recent home price appreciation, you would be building equity far faster than you would have expected. Here’s why.

Because there’s an ongoing imbalance between the number of homes available for sale and the number of buyers looking to make a purchase, home prices are on the rise. That means a home is worth more in today’s market because it’s in high demand. As Patrick Dodd, President and CEO of CoreLogicexplains: “Price growth is the key ingredient for the creation of home equity wealth…This has led to the largest one year gain in average home equity wealth for owners…”

Basically, because home values have climbed so much, equity has increased too. According to the latest Homeowner Equity Insights from CoreLogicthe average homeowner’s equity has grown by $64,000 over the last 12 months.

While that’s the nationwide number, the map below shows that average equity for Massachusetts homeowners has increased $62,000.

The Average Homeowner Gained $64K in Equity over the Past Year | MyKCM

The Opportunity Your Rising Home Equity Provides

Thinking about marketing your home and upsizing, downsizing or moving to that someday neighborhood? Your equity can help you purchase your next home. When you sell your current house, the equity you built up comes back to you in the sale. In a market where homeowners are gaining so much equity, it may be just what you need to cover a large portion – if not all – of the down payment on your next home.

So, if you’ve been holding off on selling or you’re worried about being priced out of your next home because of today’s ongoing home price appreciation, your equity can help fuel your move.

That’s what we just did. We took advantage of the equity in our home to downsize and purchase something smaller in an area that we’ve been looking at for years. We had no home sale contingency when we made our offer. We then sold our house and received $45,000 over asking price! You can do it, too!

Curious about your options? We’re happy to answer your questions. Let’s connect at 508-360-5664 or msennott@todayrealestate.com. We’ll share with you current market statistics, as well as our experiences as both buyers and sellers. Let’s talk soon.

Enjoy your week. It looks like summer is finally here!

Best regards,

Mari and Hank

Is the Boom Over?

If you’re following the news, all of the headlines about conditions in the current housing market may be leaving you with more questions than answers. Is the boom over? Is the market crashing or correcting? Here’s what you need to know.

The housing market is moderating compared to the last two years, but what everyone needs to remember is that the past two years were record-breaking in nearly every way. Record-low mortgage rates and millennials reaching peak homebuying years led to an influx of buyer demand. At the same time, there weren’t enough homes available to purchase thanks to many years of underbuilding and sellers who held off on listing their homes due to the health crisis.

This combination led to record-high demand and record-low supply, and that just wasn’t going to be sustainable for the long term. The latest data shows early signs of a shift back to the market pace seen in the years leading up to the pandemic – not a crash nor a correction.

Home Showings Then and Now

The ShowingTime Showing Index tracks the traffic of home showings according to agents and brokers. It’s a good indication of buyer demand. Here’s a look at that data going back to 2019 (see graph below):

Is the Housing Market Correcting? | MyKCM

The 2019 numbers give a good baseline of pre-pandemic demand (shown in gray). As the graph indicates, home showings skyrocketed during the pandemic (shown in blue). And while current buyer demand has begun to moderate slightly based on the latest data (shown in green), showings are still above 2019 levels.

And since 2019 was such a strong year for the housing market, this helps show that the market isn’t crashing – it’s just at a turning point that’s moving back toward more pre-pandemic levels.

Based on our own experience and that of our colleagues we can say that not every Open House has lines of potential buyers stretching down the driveway, as was the case not that long ago. Appropriately priced homes still attract a crowd, but buyers have become a bit more discerning. Houses whose asking price aren’t realistic because of condition or location are getting less attention when they might have a year ago.

What we are seeing — and again, this is anecdotally — are some homes becoming available to see if they will sell at some crazy price, because buyers are thought to still be “desperate.” But, there’s not much interest.

Existing Home Sales Then and Now

The headlines are also talking about how existing home sales are declining, but perspective matters here, as well. Let’s look at existing home sales going all the way back to 2019 using data from the National Association of Realtors (NAR) (see graph below):

Is the Housing Market Correcting? | MyKCM

Again, a similar story emerges. The pandemic numbers (shown in blue) beat the more typical year of 2019 home sales (shown in gray). And according to the latest projections for 2022 (shown in green), the market is on pace to close this year with more home sales than 2019 as well.

It’s important to compare today not to the abnormal pandemic years, but to the most recent normal year to show the current housing market is still strong. First American sums it up like this: “…today’s housing market looks a lot like the 2019 housing market, which was the strongest housing market in a decade at the time…”

Housing sales statistics for May have just been released by the Cape Cod and the Islands Board of Realtors and show that YTD the median sales price for a single family home is $690,000.00. (The YTD number one year ago was $607,000.00) New listings YTD are 1,613 compared to 1,836 in 2021.

New listings in May numbered 468. Last May there were 511. Months of housing supply in May is 1.4. In January it was 0.7 meaning more homes are coming on the market. This trend is expected to continue, but we have a long way to go to reach the more than five months supply we had pre-pandemic when good houses were available for sale for more than 100 days.

If recent headlines are concerning you and you’re thinking about buying, selling or both, look at a more typical year for perspective. The current market is not a crash or correction. It’s just a turning point toward more typical, pre-pandemic levels.

We’re happy to answer your questions. Let’s connect at 508-360-5664 or msennott@todayrealestate.com. It’s important that you have the correct information before making a decision.

…and remember, we just sold our house of 28 years and moved to a smaller property. So, we get it.

Have a great week…

Mari and Hank

Your Best Options as a First-Time Homebuyer

If you’re looking to buy your first home, you’re likely balancing several factors. Because both mortgage rates and home prices have risen this year, it costs more to buy a house than it did even just a few months ago. But that doesn’t mean you have to put your plans on hold.

Here are two tips to help you get started.

Prioritize Your Wish List

If you’re having trouble finding a home in your budget that checks all the boxes, it may be worth taking another look at your list of what you want and what you really need. 

According to the latest First-Time Homebuyer Metro Affordability Report from NerdWallet, your wish list can have as much impact on your search as your finances: “Your budget isn’t all that you need to be concerned about. Your wish list and desired location may carry just as much weight.”

It’s all about prioritization. If you’re serious about purchasing your first home soon, be flexible in what you’re looking for to open up your pool of options. Work with a local professional — not your Uncle’s cousin’s son from 50 miles away. Most properties come and go quickly. Local realtors have the best access to information about when homes become available. We also know what the current successful strategies are to have an offer an accepted.

Remember, making a concession on your wish list now doesn’t mean you’ll never have everything you want. After you’ve moved in, you can always add certain features to make the home your own. Countertops can be changed. Cabinets added. Basements finished. In many cases, there’s really no rush.

Increase Your Search Radius To Consider More Locations

Some areas may have more homes within your target price range than others, but it may require you to be flexible on your location.

For example, if you’re a remote worker, you may be able to expand your search radius. As Fannie Mae explains: “…continued remote work flexibility is likely giving many the ability to live farther away.”

The median selling price in the Boston area for a single family home in April was $845,000. On Cape, it was $675,000.

So, if you’ve vacationed on Cape for years and always wanted to live here full time, now could be your chance. Buying on Cape is less expensive and there’s a big difference between driving to Boston twice a week, as opposed to daily.

The Cape also offers more open space and lifestyle options.

If you’re serious about purchasing your first home this year, revisiting your wish list and desired location can help. Let’s connect at 508-360-5664 or msennott@todayrealestate.com to explore all the options here on Cape – and beyond, if you’re interested – so you can achieve your homeownership dreams.


The move to our new home was very successful. (Getting our new furniture delivered is another story!) We chronicled the day for you on our YouTube series Mari Makes the Move. You can see it here.

Selling and buying was a new experience for us as we lived in our previous home for 28 years. We learned a lot that we’ll be sharing with you in the weeks ahead.

Have a great week…

Mari and Hank


What Does the Rest of 2022 Hold for the Housing Market?

If you’re thinking of buying or selling a house, you’re at an exciting decision point where timing can be crucial. So, what does the rest of the year hold for the housing market? Here’s what experts have to say.

The Number of Homes Available for Sale Is Likely To Grow

There are early signs housing inventory is starting to grow and experts say that should continue in the months ahead. According to Danielle Hale, Chief Economist at realtor.com: “The gap between this year’s homes for sale and last year’s is one-fifth the size that it was at the beginning of the year. The catch up is likely to continue…This growth will mean more options for shoppers than they’ve had in a while, even though inventory continues to lag pre-pandemic normal.”

  • As a buyer, having more options is welcome news. Just remember, housing supply is still low, so be ready to act fast and put in your best offer up front.
  • As a seller, your house may soon face more competition when other sellers list their homes. But the good news is, if you’re also buying your next home, having more options to choose from should make that move-up process easier.

Here on Cape, there has been a very modest, but steady increase in new listings this year. In January, there were 209. In April, there were 375. For some perspective, there were 629 new listings in April 2019 and we had 5.8 months of housing inventory.

Commenting on social media last week, Ryan Castle, Chief Executive Officer of the Cape and Island Association of Realtors, reported that “162 of 223 properties that became available over the last two weeks are still for sale.”

Cumulative days on the market before sale (YTD) is 36 seeming to indicate that not every property is selling in a day. Just a few years ago, days on market for well-maintained and appropriately priced homes could number in the months.

Mortgage Rates Will Likely Continue To Respond to Inflationary Pressures

Experts also agree inflation should continue to drive up mortgage rates, albeit more moderately. Odeta Kushi, Deputy Chief Economist at First Americansays: “…ongoing inflationary pressure remains likely to push mortgage rates even high in the months to come.”

  • As a buyer, work with reputable lenders, so you can learn how rising the mortgage rate environment impacts your purchasing power. It may make sense to buy now before it costs more to do so, if you’re ready.
  • As a seller, rising mortgage rates are motivating some homeowners to make a move up sooner rather than later. If you’re planning to buy your next home, talk to us and we can give you some advice on timing your move based on our own experience.

Home Prices Are Projected To Continue To Increase

Home prices are forecast to keep appreciating because there are still fewer homes for sale than there are buyers in the market. That said, experts agree the pace of that appreciation should moderate – but home prices won’t fall. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), says: “Given the extremely low inventory, we’re unlikely to see prices decline, but appreciation should slow in the coming months.”

  • As a buyer, continued home price appreciation means it’ll cost you more to buy the longer you wait. But it also gives you peace of mind that, once you do buy a home, it will likely grow in value. That makes it historically a good investment and a strong hedge against inflation.
  • As a seller, price appreciation is great news for the value of your home. Again, you can take advantage of our experience to find the best way to strike the right balance for both selling your house and buying your next one. (We just did that!)

On Cape, the median sales price for a single family home (TYD) is up 12.5% to $675,000.00. In April 2019, it was $420,000.00.

But, the percentage of original list price received (YTD) is 101.1% suggesting that the days of head scratching offers may be fading. (Although there will always be exceptions.) In 2019, percentage of list was 92.9%. Back then asking price was the best you could hope for, not the starting point as it often is today.

Thinking about making your move? We’d be happy to answer your questions. Let’s connect at 508-360-5664 or msennott@todayrealestate.com. It’s important that you have the most accurate information to make the best decision for you.


…and speaking of making your move, today (Monday) is moving day for us. We closed on our new condo this past Wednesday and have used the last several days to finish packing up our house where we have lived for the last 28 years and bringing in painters, etc. to our new place. We close on our “old” home this coming Wednesday,

We’ve been chronicling what we’ve been doing in a series called “Mari Makes the Move” that you can find on our YouTube channel Mari Sennott Plus and on many of our social media platforms.

We’ll let you know next week how it all went…

Mari and Hank

Mortgage Rates Pushing Buyers Off the Fence

If you’re thinking about buying a home, you’re no doubt aware that mortgage rates are rising and you’re probably wondering what that means for you. Since mortgage rates have increased over two percentage points this year, it’s natural to think about how this will impact your homeownership plans.

Buyers are reacting in one of two ways: they’re either making the decision to buy now before rates climb higher or they’re waiting it out in hopes rates will fall. Here’s some context that can help you understand why so many buyers are making their move and taking action instead of waiting.

How the Current Mortgage Rate Compares to Historical Data

One factor that could help you make your decision to buy now is how today’s mortgage rates compare to historical data. While higher than the average 30-year fixed rate in recent years, the latest rates are still comparatively low when you look at the bigger picture of where rates have been since 1971 (see graph below):

Why Rising Mortgage Rates Push Buyers off the Fence | MyKCM

If you’re deciding whether to buy now or wait, this is important context to have. Today’s mortgage rate still gives you a window of opportunity to lock in a number that’s significantly lower than decades past.

Not every lender is offering the same rate right now. The differences can be 1% or more. So, be sure to compare. We work with several reputable lenders and are happy to pass along their contact information.

We remember when interest rates were at their highest. We had a rate of 14%! But people still bought homes, because they understood that real estate has always been the safest investment and that waiting was, well, just waiting.

A Look Ahead: What Happens if Rates Climb Further

The buyers who are springing into action now are motivated to make their move because they know rates have risen steadily this year, and they’re eager to get ahead of any further increases.

Why? When mortgage rates climb, they impact the monthly mortgage payment you’ll have on the home you’re buying. Basically, it’ll likely cost you more to buy if you wait.

Experts say mortgage rates will rise (although more moderately) in the months ahead. Odeta Kushi, Deputy Chief Economist at First Americanexplains: “…ongoing inflationary pressure remains likely to push mortgage rates even higher in the months to come.”

So, if you’re ready and financially able to buy now, it may make more sense to get off the fence and make your purchase sooner rather than later.

That’s what we’ve done. We’ve sold our home where we’ve lived for the past 28 years and are purchasing a ranch style condo. We have an mortgage interest rate that would have been laughed off as fantasy when we were younger.

At the end of the day, there is no perfect advice on when to buy a home. What you should do depends on your goals, your finances, and your personal situation.

Please use this information to make an informed decision about what’s best for you. And let’s connect at 508-360-5664 or msennott@todayrealestate.com. We’re be happy to answer your questions.

Happy Memorial Day. Never forget…

Mari and Hank