Despite the news headlines, it’s actually a great time to buy a home.
Are you considering purchasing a new home? If so, you're in for a treat because the timing couldn't be better. In this article, we'll discuss why now is the ideal time to make that important decision:
1. Pent-up demand. Many prospective homebuyers have been holding off due to rising interest rates. They've been hoping that rates would eventually decrease, but this delay has created pent-up demand. When those rates finally do drop, we can expect a surge in buyers. This surge could lead to significant price escalations, as we've witnessed in the past.
2. Avoiding higher costs. Waiting to buy could mean paying a higher price than you would today. Your housing payments might even end up being more than if you purchase now and leave room for future refinancing opportunities.
3. Potential for price appreciation. Buying a house today at the current market prices is a smart move. Chances are, home prices will likely increase over the next 12 to 18 months. While no one can predict the future with certainty, experts, including Zillow, are forecasting a 6% nationwide price increase. By buying now, you lock in a lower price, and this could provide you with the option to refinance when interest rates become more favorable.
"Start by discussing your options with a trusted lender."
4. Timing your refinancing. If you're wondering when the right time to refinance is, consider the general rule of thumb: wait until interest rates are at least half a percent lower than your current rate. While there are some costs associated with refinancing, there's a special program available that might interest you. If you buy now and refinance before the end of 2025, you can save on lender fees. Plus, with no prepayment penalties on our loans, you won't incur additional fees when you decide to refinance.
5. Start with a lender. To navigate this journey effectively, it's essential to start by discussing your options with a trusted lender. We recommend our preferred lender, who specializes in helping prospective homeowners. In a follow-up post, we will delve deeper into how to initiate this crucial conversation.
If you have any questions or need guidance, feel free to reach out to us by phone or email. We're here to assist you every step of the way. Now is the perfect time to make your move into the housing market. Don't hesitate; the future is bright, and the opportunities are waiting for you.