4 Major Reasons to Buy a Home Now Instead of the Spring
Based on prices, mortgage rates and soaring rents, there may have never been a better time in real estate history to purchase a home in Sussex County than right now. Here are four major reasons to buy a home sooner than later:
Supply Is Shrinking
With inventory declining in many areas in Sussex County, finding a home of your dreams may become more difficult going forward. There are buyers in more and more markets surprised that there is no longer a large assortment of houses to choose from. The best homes in the best locations always sell first. Don’t miss the opportunity to get that ‘once-in-a-lifetime’ home or resort investment opportunity.
Price Increases Are on the Horizon
Prices are projected to appreciate by over 25% from now to 2018. Median home prices in the Rehoboth Beach area are up nearly 20% over 2012 pricing. Home buyers will surely pay more in price and especially interest rates if waiting until the spring is their plan. If you are a move-up buyer, it will wind-up costing you more in net dollars as the home you will buy will appreciate at approximately the same rate as the house you are in now.
Interest Rates Are Projected to Rise
The Mortgage Bankers Association, the National Association of Realtors, Freddie Mac and Fannie Mae have all projected that the 30-year mortgage interest rate will be over 5% by the end of 2014. That is an increase of almost one full point over current rates.
Buy Low, Sell High
We would all agree that, especially when investing, we want to buy at the lowest price possible and hope to sell at the highest price. Housing can create family wealth as long as we follow this simple principle. Today, real estate is selling ‘low’ compared to where it will be next year. Clearly, It’s time to buy.