Werecentlyshared that national home prices have increased by 6.7% year-over-year. Over that same time period, interest rates have remained historically low which has allowed many buyers to enter the market.
As a seller, you will likely be most concerned about‘short-term price’– where home values are headed over the next six months. As a buyer, however, you must not be concerned about price, but instead about the‘long-term cost’of the home.
TheMortgage Bankers Association(MBA),Freddie Mac,andFannie Maeall project that mortgage interest rates will increase by this time next year. According toCoreLogic’smost recentHome Price Index Report,home prices will appreciate by 5.2% over the next 12 months.
What Does This Mean as a Buyer?
If home prices appreciate by 5.2% over the next twelve months as predicted byCoreLogic,here is a simple demonstration of the impact that an increase in interest rate would have on the mortgage payment of a home selling for approximately $250,000 today:
If buying a home is in your plan for this year, doing it sooner rather than later could save you thousands of dollars over the terms of your loan.
Author:Ruby Arias Phone: 623-398-5575 Dated: May 9th 2018 Views: 2,236 About Ruby: Whether buying or selling a home, you want someone on your side that knows the local market and puts...
One of the first decisions that must be made in the home buying p
"My wife and I met Jamie Deters by chance after calling on a listing in North Phoenix. She knew the phoenix area well. A " no pressure", and we would look at as many houses as it took to "find the one", was Jamie's approach. We thought we would drive Jamie crazy with our questions, and days of showing us available listings. The house we finally made an offer on was perfect. Jamie got it under contract for us immediately at a NICE discount and a long list of repairs that she insisted the seller take care of. Jamie worked extremely well with the other agent and home inspector. Jamie Is all about follow up. She's super knowledgeable about real estate and the contract process. We were lucky to find Jamie, and she has the biggest heart of anybody you'll ever meet. Scott and Linda H."