If you are debating purchasing a home right now, you are probably getting a lot of advice. Though your friends and family will have your best interest at heart, they may not be fully aware of your needs and what is currently happening in the real estate market.
Ask yourself the following 3 questions to help determine if now is actually a good time for you to buy in today’s market.
1. Why am I buying a home in the first place?
This truly is the most important question to answer. Forget the finances for a minute. Why did you even begin to consider purchasing a home? For most, the reason has nothing to do with money.
For example, a recent survey byBraunshowed that over 75% of parents say“their child’s education is an important part of the search for a new home.”
This survey supports a study by theJoint Center for Housing Studies at Harvard Universitywhich revealed that the four major reasons people buy a home have nothing to do with money. They are:
A good place to raise children and for them to get a good education
A place where you and your family feel safe
More space for you and your family
Control of that space
What does owning a home mean to you? What non-financial benefits will you and your family gain from owning a home? The answer to that question should be the biggest reason you decide to purchase or not.
2. Where are home values headed?
According to the latestHome Price IndexfromCoreLogic, home values are projected to increase by 5.3% over the next 12 months.
What does that mean to you?
Simply put, if you are planning on buying a home that costs $250,000 today, that same home will cost you an additional $13,250 if you wait until next year. Your down payment will need to be higher as well to account for the higher home price.
3. Where are mortgage interest rates headed?
A buyer must be concerned about more than just prices. The ‘long term cost’ of a home can be dramatically impacted by even a small increase in mortgage rates.
TheMortgage Bankers Association (MBA), the National Association of Realtors, Fannie Mae and Freddie Machave all projected that mortgage interest rates will increase over the next twelve months as you can see in the chart below:
Only you and your family will know for certain if now is the right time to purchase a home. Answering these questions will help you make that decision.
Author:Jack ONeal Phone: 602-418-3645 Dated: December 6th 2016 Views: 558 About Jack: ...
Solutions Real Estate has the Solution to all of your Arizona Real Estate needs. Veteran owned company based in Gilbert, Arizona with several offices throughout the Phoenix Metropolitan area. Currently expanding in southern California in the San Diego market.
"I have worked with several realtors but none with the passion and drive that Adriana Klink has. Adriana made me feel comfortable and excited about my listing. She thought out of the box and came up with refreshing ideas other relators had not thought of to get my house more exposure. Adriana went above and beyond to become my home's advocate. She did not stop when meeting opposition from the HOA, it only made her more persistent.
Adriana eagerly looked for opportunities to introduce my home to potential clients whenever she could. Rather than sending an email and hoping it would lead to something, Adriana traveled to communities near and far to create relationships with other agencies.
Adriana kept me well informed throughout the time as my agent. Copies of documents I signed were also sent for my records and she followed up on any leads or visit to receive feedback.
I would recommend Adriana to anyone looking for a Realtor that will go above and beyond! She will not only represent your home, she will make you feel informed, comfortable and confident!