Today we’re going to examine what’s going on in the market right now, specifically interest rates and housing prices.
The biggest question we’re repeatedly being asked right now is, “Should I wait until next year to buy? Aren’t prices set to drop then?”
Our response is always the same: We don’t know what will happen; prices may stabilize, which is normal, but they won’t go down.
What’s more important for buyers to consider is securing a low interest rate. It’s a long-term benefit you should always be looking to capitalize on instead of waiting for some undetermined time when home prices may drop by $20,000.
Additionally, it’s good to remember that refinancing a 30-year fixed interest rate to a 15-year is always easier when you have a low rate.
Ultimately, you can have compound interest work for you or against you. Typically, with mortgages, it’s working against people—that is, unless, you nab that really low interest rate.
We’re always keeping an eye on prime opportunities to refinance. Right now, the market is giving us a gift, and homeowners should take advantage of it!
Back when we bought our first home, we were at an interest rate of 8% and that was normal at the time. It’s a far cry from the fantastically low rates we’re enjoying now.
If you ever have any questions about real estate, please reach out to us by phone or email. We would love to help you.