It's Time To Buy
Now could not be a better time to buy a home, rates are low and inventories are up, meaning more choices for home buyers. Rates are running at near historical lows, because the housing market is experiencing a cooling-off period from the boom of several years ago, making todays economic environment the perfect one in which to buy a home. This economic situation created opportunities for first time home buyers, opportunities that may never arise again in many years. Current mortgage interest rates are extremely favorable for buyers. In fact, rates for 30-year, fixed-rate mortgages are hovering near 30-year lows. Noone can accuratley predict whether rates will go up or down however, if interest rates were to move up by a half a point during the period, the savings on the reduced home price would be more than to offset by the higher monthly payment you would be making and the total amount you"d spend over the life of the loan.
The best way to “play it safe” is to actually buy a home. Here’s why: studies show that owning a home is the best way to build household wealth. The sooner a person owns a
home, the faster they begin to build up equity and wealth. When you buy a home, you are also purchasing price stability, knowing that you will pay the same monthly payment for the
life of your 30-year, fixed-rate mortgage.
Now consider the current rental market. While home prices have been moderating, rents continue to rise. Where is the economic security in not knowing how much your rent will
increase in the next three years? You don’t receive any tax benefits from paying rent, nor do you accumulate any price appreciation, as you would if you owned a home of your own.
All of the economic fundamentals show that this is a good time to buy a home. And continuing strength in rental demand signals that there is upward pressure on rental apartments.The
real risk isn’t in buying a home, it’s continuing to rent.
In short, the smartest and safest time to buy is now. We know that home prices are down. We know that there are plenty of homes on the market to choose from. We know that sellers are willing to bargain. And we know that builders are willing to offer attractive incentives to get your business. Real estate prices are stable unlike the rest of the world and this summer is a great time to move, just before the school season starts.