Is Now the Right Time To Buy?
Here’s what homebuyers should know about the 2022 market.
Is now the time to buy a home in our real estate market? To get a better picture, there are a couple of points that I want to go over:
1. The sooner you buy, the sooner you’re investing in yourself. It makes more sense to buy now than to continue to rent. Why not start paying your own mortgage instead of your landlord’s?
Low rates may offset your savings.
2. Interest rates are at historic lows. We don’t know what the future will hold, but if I had to guess, they’ll go up about 1% in 2022. That means your monthly payment may be impacted dramatically. If you were to buy a $400,000 home at a 3% interest rate, a 1% increase in rates is going to raise your monthly payment by about $200. Every $5,000 in purchase price equals an extra $20 a month on your payment, so If you're waiting for prices to swing, low rates may offset your savings anyways.
3. Less competition in winter. With fewer homes for sale, you have more flexibility and the ability to work with the seller a bit more. Winter buyers tend to be more serious than ones in spring or summer.
If you have any questions for me about your individual situation or anything else related to real estate, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.