People ask my all the time if now is a good time to invest in real estate (and yourself).
If you’re considering buying a home, ask any real estate agent worth their salt and they’ll tell you: NOW is the time to do it.
The real estate market is changing by the day, and if you want to get a great home for a great price, making a move now is in your best interest; conditions a year from now (or even six months from now) aren’t likely to be as hospitable to most buyers.
And why is that? Why shouldn’t you, if you’re interested in buying a home, wait? Why is NOW the time to make a move in the great Pacific NorthWest? Here are just a couple reasons that I share with my friends when they ask.
1: INTEREST RATES ARE NOT GOING TO BE THIS HISTORICALLY LOW FOR LONG!! Locking in a lower interest rate on your mortgage will save you tens of thousands of dollars over the course of your loan, which is why securing a loan now is in your best interest.
2: COMPETITION IS GETTING FIERCE: Competition is getting fierce in markets across the country. Homes are sold almost immediately, often at above asking price, and sellers are often dealing with multiple offers.
The competition in most real estate markets is still manageable and deals are still to be found, but as the economy continues to improve, the competition will heat up even more – making finding and buying the home of your dreams significantly more challenging (not to mention expensive).
3: HOMES ARE GETTING MORE EXPENSIVE DAILY:
Combine the rising interest rates with the rising home prices and you’ve got a recipe for paying a lot more for a home a year from now than you would pay today.
4: THERE WILL BE LESS HOMES TO CHOOSE FROM: One of the factors in rising home costs is low inventory. When there are too many people who want to buy homes and not enough homes for them to buy, it drives up prices and competition in the market. As interest rates rise, people are less likely to put their homes on the market in an effort to preserve the lower interest rates on their mortgages.
We have a huge problem with low inventory now, but unfortunately, that problem doesn’t have a simple solution.
Buying a home is a big decision. But if it’s a decision you’re considering, now’s the time to make a move. You’ll enjoy lower interest rates and an overall less expensive (and less stressful!) experience today than you will if you wait. So get out there and find your dream home!
The moral of the story is: there’s low inventory now, but there’s likely to be lower inventory in the future, which means prices will soar even higher. It’s better to buy now then it is to wait for the problem to get worse.
Contact me (via the home page prompts) and sign up for free home market evaluations and a great “Guide to selling your home” PDF. Another great feature is the free “email alert system” for new home listings as soon as they hit the market on wwwPatrickJohnsonRealEstate.com home page.
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