Thursday December 17, 2015
This week, the biggest news is the .25% rate hike by the Federal Reserve – the first rate hike in nearly a decade! And, it is anticipated that an increase in mortgage rates of .50% over the next 12 months is to follow.
But don’t panic – we’re breaking it down to help you navigate what it all means for you, so you can take advantage of the best opportunities in the new home market now.
Here are 3 reasons to purchase your new home sooner than later:
Mortgage rates will creep higher -
First time homebuyers especially, will need to adjust their purchase price as rates continue to rise through the next 12 months. Waiting until later in the year to buy can end up costing thousands. Buying now means getting the most for your money.
Note: Each half point increase adds appx. $100/month to a payment on a 30-year mortgage of a $300,000 home. (source: NerdWallet)
Home values will continue to rise -
If you are selling your current home, you might find yourself trading in a lower rate mortgage for a higher rate – combine that with increasing home prices, and waiting to buy may limit what you are able to afford. The home prices and rates now are the lowest they will be - buy soon to get the most return on the equity on your current home.
News travels fast -
With so many homebuyers rushing to take advantage of the favorable market and lowest prices and rates, there will be many eyes on favorable homes and premium homesites. Most likely if you love a home – there are others who are interested too. Don’t let waiting cost you a great home and a great value.
Now you've got the facts, and we've got a team of industry experts who will guide you through and make sure you find a home that fits you best.
Question? Email email@example.com and we'll get right back to you!