Over the past few months, we have been in a strong seller’s market with many buyers waiting for the perfect home with the most perfect terms. The truth is, there might not ever be a perfect time to buy a home, but with affordability improving nationwide, now seems to be a prime opportunity to get off the sidelines!
If you’ve been waiting to buy, here are 3 reasons why now is the best time to purchase a home! Let’s dive in!
Mortgage Rates Are Decreasing
Mortgage rates have always been a huge factor when it comes to buying a home, and it's been an extremely popular topic over the past few years. During the pandemic, we saw record-low rates that many homebuyers were hoping to see again, which is why many were holding off on buying. However, the chances of those low rates returning are very unlikely.
In May, mortgage rates were the highest we have seen this year, but they have been steadily declining over the past few months. Currently, they are sitting at the lowest we have seen in 2 years at 6.5%. While this isn’t the low rate everyone was hoping for, even a slight dip can help!
Inventory Is Increasing
Another significant factor that was limiting buyers was the lack of inventory available. Buyers didn’t have many options and would sometimes purchase homes that were a little higher than they wanted to spend just to have somewhere to live. However, according to Realtor.com, 36.6% more homes are actively for sale now than last year, giving buyers more options and negotiation power.
Home Prices Are Stabilizing
Mortgage rates coming down and inventory going up leads us to our third factor, which is that home prices are stabilizing. While home prices are still going up, it’s at a much slower pace than a few years ago which is great news for buyers. When mortgage rates were higher and inventory was lower, sellers could have higher list prices that many buyers would pay due to lack of inventory.
As we head into the fall season, there are bright spots for buyers in the current market! If you have questions about the real estate market or purchasing a home, reach out to us today! We’re always here to help.
Posted by Shane White on
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