We hear some skepticism that real estate will cool down in Florida with coming winter, hence, I wanted to address your concerns with 5 Logical Reasons to Buy Your Dream Home This Winter, instead of waiting and potentially losing money!
Prices will continue to go up
Zillow Research team issued this 12-month forecast for the U.S. housing market: “United States home values have gone up 5.1% over the past year and Zillow predicts they will rise 2.7% within the next year [through October 2017].”
Home values will continue to appreciate for years. There is no benefit of waiting longer.
Mortgage Interest Rates are forecasted to rise
Freddie Mac’s Primary Mortgage Market Survey shows that interest rates for a 30-year mortgage are currently at 4.08%. The Mortgage Bankers Association, Fannie Mae, Freddie Mac & the National Association of Realtors are certain the interest rates will increase, we don’t know how high the interest rates go but it will be higher than now.
So if you are getting a mortgage to buy a home, your payments will be higher if you keep waiting.
Read more about mortgage options here.
You don’t have to come up with high down payment any more
One of the big reasons why people postpone buying a home is that it’s hard to come up with a large down payment so they keep renting and paying someone else mortgage. There are programs where all you need is 3.5% down for FHA or as low as 3% for conventional loans. There is even financing available for condominiums with 5% down. Affordability is the key in this market!
You don’t have to wait till your credit score is excellent
Another reason why so many people are waiting to buy is that they believe you have to have an excellent credit score to qualify for a mortgage. Well, it helps but not required. There are programs starting with 620 credit score and low down payment as mentioned above.
Rent is so high now
Unless, you live at your parents’ house or inherited the property, you are spending money on average about 40% of your income on your rent. Hence, at the end of the day you are still paying for mortgage …just not yours.
Why not to start building your own equity and not think about if your landlord is going to increase a rent again or decides to cancel the lease?
Buy Your Dream Home
Well, I can keep going on and listing all the reason why not to wait and buy the home now but at the end of the day you are the only person who knows if it’s a right time to buy because to benefit from owning a real estate you need to keep it long term and if you think you will be relocating and/or changing your life style in near future then may be it’s worth to wait a little bit but not too long!