When is the Right Time to Buy a House? Should I wait for a lower interest rate? No.
I get asked this question all the time — when is the right time to buy a home?
The answer is not a simple “yes” or “no” and I cannot tell you “now” or “later.” So how can you figure it out?
There are 3 things you need to ask to find the answer.
It has NOTHING to do with the interest rates. You'll see why in just a few minutes.
Question 1: Do I have the credit score and enough income?
Question 2: How much house do I need? and where?
Question 3: How can I make this an affordable purchase and even how to make it a profitable purchase?
Click HERE for the Math Formula to find out if you make enough income.
What’s crazy is — this has nothing to do with interest rates.
The short answer is — Buy now.
The more detailed answer is below.
But shouldn’t I wait until the interest rate drops?
No.
Low interest rates increase home prices. A normal interest rates lowers them.
What happened in 2021 when the interest rates dropped? For a few months, it was exciting because home prices were still steady so for a short time with those lower interest rates you could buy even more house.
BUT by the summer of 2021- prices jumped up! And a home that was previously selling for $250K was now selling for $300K.
When the interest rate is too low, the home prices are way too high.
From summer 2021 to the end of 2022, I advised several of my clients to either wait OR to buy a home that was NOT overpriced just because of the interest rates. Some of those did exist, but there were not too many.
What does that mean for you in 2024 and 2025?
You can buy a home for a lower price.
1-Right now it is July 2024, and many home sellers are agreeing to LOWER the prices of homes while the interest rate is holding steady between 6.5% and 7%.
2-If you are buying in 2024, you are getting more house for your money.
3-You will have financial benefits from any property you buy more quickly. Why? Because homes bought in 2024 will have a stronger chance of increasing in value more quickly than those that were bought in 2022 with the lower interest rates.
4-You can refinance into a lower interest rate next year (most experts agree that by 2025 the interest rates will likely lower)
But let’s get to your wallet and make it more real for you.
If you are paying $1500 a month in rent-you are paying $18,000 a year toward someone else’s mortgage and putting profit in their account.
I live for free in my home.
How?
Message me to learn more.
But even if you can’t get my benefits-at a bare minimum, that $18,000 goes toward building YOUR financial opportunity. How? access to lines of credit, cash out refis, etc.
View Homes by Clicking the Image Below
Connect with Me by Clicking the Image Below
