Why is NOW a good time to buy a house?
Buying a house is one of the most significant financial decisions a person will make in their lifetime. You want to make certain that you are buying the right home, at the right time, and at the right price. It is critical to conduct research and make an informed decision.
Market volatility, inflation, and discouraging news can be concerning, but can also indicate that the market has reached its bottom. Purchasing a home during a period of economic stress is a good way to secure a home while inventory is high, multiple offer situations are avoided, and pricing is reasonable. Finally, real estate is one of the most secure investments you can make. Interest rates have risen in recent years but are significantly lower than the 12-18% range seen in the 1980s. Real estate is cyclical and fluctuates. If you buy a home at an incredible price but the interest rate is higher than you prefer, you can always refinance to a lower interest rate later.
Here are some steps you can take to help ensure you are making an informed decision:
- Determine how much loan you will be able to obtain from your preferred lender. Examine interest rates and buy-down points, lender options, and how much money you can put down. Before you begin your search, obtain a Pre-approval letter. A pre-approval letter is a written document that indicates how much you can afford and ensures you have your lender's support. After reviewing your debt-to-income ratio, your lender will provide you with this information.
- Analyze your local market carefully with your real estate broker. Look over closed and active home sale comparables and review pricing within the neighborhood and homes of a similar year built, make, and model.
- Create a checklist of your needs, such as which neighborhoods you prefer and which school systems you want to be near. Do you have any specific requirements for your home?
- After you find the home you are interested in, have your real estate broker contact the listing agent to discuss making an offer.
One thing you can count on when purchasing a Murray Franklyn home is you will be buying a home that is quality. We can confidently say we construct the highest-quality homes on the market.
If you want to learn more about getting preapproved for a loan, current rates, or discuss lending options with one of our recommended lenders click here: