Here are four great reasons to consider
buying a home today instead of waiting.
1. Prices
Will Continue to Rise
CoreLogic’s latest Home Price Index
reports
that home prices have appreciated by 6.9% over the last 12 months. The same
report predicts that prices will continue to increase at a rate of 4.8% over
the next year. 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
Freddie
Mac’s Primary Mortgage Market Survey shows that
interest rates for a 30-year mortgage have remained around 4% over the last
couple months. The Mortgage Bankers Association, Fannie Mae, Freddie Mac
& the National Association of Realtors are in unison, projecting
that rates will increase by at least a half a percentage point this time next
year. An increase in rates will impact YOUR monthly mortgage payment. A year
from now, your housing expense will increase if a mortgage is necessary to buy
your next home.
3. Either
Way, You are Paying a Mortgage
There
are some renters who have not yet purchased a home because they are
uncomfortable taking on the obligation of a mortgage. Everyone should realize
that, unless you are living with your parents rent-free, you are paying a
mortgage - either yours or your landlord’s. As an owner, your mortgage
payment is a form of ‘forced savings’ that allows you to build equity
in your home that you can tap into later in life. As a renter, you guarantee
your landlord is the person with that equity. Are you ready to put your
housing cost to work for you?
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 if 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 now is the 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.
