Subscribe in a reader

What If I Wait Until Next Year to Buy a Home?

So…What If I Wait Until Next Year to Buy a Home? We recently shared that national home prices have increased by 6.7% year-over-year. Over that same time period, interest rates have remained historically low which has allowed many buyers to enter the market. As a seller, you’ll likely be most concerned about ‘short-term price’ – where home values are headed over the next six months. As a buyer, however, don’t be concerned about price, instead, the ‘long-term cost’ of the home. The Mortgage Bankers Association (MBA), Freddie Mac, and Fannie Mae all project that mortgage interest rates will increase by this time next year. According to CoreLogic’s most recent Home Price Index Report, home prices will appreciate by 5.2% over the next 12 months.

What Does This Mean as a Buyer?

If home prices appreciate by 5.2% over the next twelve months as predicted by CoreLogic, here is a simple demonstration of the impact that an increase in interest rate would have on the mortgage payment of a home selling for approximately $250,000 today:

What If I Wait Until Next Year to Buy a Home?

What If I Wait Until Next Year to Buy a Home?

Bottom Line

If buying a home is in your plan for this year, doing it sooner rather than later could save you thousands of dollars over the terms of your loan.

Call Us Now To Sell Your Home… Office: 909.985.9392 or Text Us: 714.657.6634

Kris and Kim Darney – REALTORS® – Grandparents – 909.985.9392 – CA BRE# 01930954; 01464957; 01458057

712,000 US Homes Moved Into Positive Equity in 2017

The average homeowner gained approximately $14,900 in equity during the past year. Compared to Q3 2016, negative equity decreased 22% from 3.2 million homes, or 6.3% of all mortgaged properties. U.S. homeowners with mortgages (roughly 63% of all homeowners) have seen their equity increase by a total of $870.6 billion since Q3 2016, an increase of 11.8%, year-over-year.

Summary
What If I Wait Until Next Year to Buy a Home?
Article Name
What If I Wait Until Next Year to Buy a Home?
Description
As a seller, you will likely be most concerned about ‘short-term price’ – where home values are headed over the next six months.
Author
Who
Kris and Kim Darney- Your REALTORS for Life
Us
Neighborhood Updates In Your Email!

Neighborhood Updates In Your Email!

Join our mailing list to receive the latest news and updates from K&K.

You have Successfully Subscribed!

Pin It on Pinterest

Shares
Share This