The holiday season is behind us, time to focus on what exciting new experiences 2015 can bring! If you are planning on becoming a homeowner, or moving up to the home of your dreams in 2015, here are four great reasons to consider buying a home now, instead of waiting until spring.
1. Prices Will Continue to Rise
The Home Price Expectation Survey polls a distinguished panel of over 100 economists, investment strategists, and housing market analysts. Their most recent report projects appreciation in home values over the next five years to be between 15.1% (most pessimistic) and 32.8% (most optimistic).
The bottom in home prices has come and gone. Home values will continue to appreciate for years. Waiting no longer makes sense.
2. Mortgage Interest Rates Are Projected to Increase
Although Freddie Mac’s Primary Mortgage Market Survey shows that interest rates for a 30-year mortgage have softened recently, most experts predict that they will begin to rise over the next 12 months. The Mortgage Bankers Association, Fannie Mae, Freddie Mac & the National Association of Realtors are in unison projecting that rates will be up almost a full percentage point by the end of 2015.
An increase in rates will impact YOUR monthly mortgage payment. Your housing expense will be more a year from now if a mortgage is necessary to purchase your next home.
3. Either Way You are Paying a Mortgage
As a paper from theJoint Center for Housing StudiesatHarvard Universityexplains:
“Households must consume housing whether they own or rent. Not even accounting for more favorable tax treatment of owning, homeowners pay debt service to pay down their own principal while households that rent pay down the principal of a landlord plus a rate of return. That’s yet another reason owning often does—as Americans intuit—end up making more financial sense than renting.”
4. It’s Time to Move On with Your Life
The ‘cost’ of a home is determined by two major components: the price of the home and the current mortgage rate. It appears that both are on the rise.
But, what if they weren’t? Would you wait?
Look at the actual reason you are buying and decide whether it is worth waiting. Whether you want to have a great place for your children to grow up, you want your family to be safer or you just want to have control over renovations, maybe it is time to buy.
If the right thing for you and your family is to purchase a home this year, buying sooner rather than later could lead to substantial savings.
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.
"My wife and I worked with Alan and other members of The Valley Solutions Team about a year ago when we were moving to Arizona to buy our first home. We searched website after website, but kept coming back to his team website. Thank goodness we did. Alan was awesome to work with, and was very flexible and dependable. While we had to fly in from out of town he was available to us when we needed him. The searching and buying process went very smoothly and we couldn't have been happier. Then, a just a few months ago, we had the pleasure of working with Alan again. We ended up buying our second home here in Scottsdale. Our situation was a bit more difficult as my husband was away more often then not for work. Alan was more then willing to meet with me when our schedule allowed us to do so, and did everything he could to help us purchase our second home while my husband was away. The second time around went just as smooth as the first and we couldn't be more pleased with our new home. Alan was very easy to work with. He responded to e-mails, and phone calls right away and have a vast knowledge about Arizona and the real estate market. They are the best of the best and we wouldn't buy from anyone else, or recommend anyone else to work with. They are just that good!!!"