Hoping to Buy a Home Soon? Hang in There!

The real estate market has been hot for a while now, and it’s no secret that we’re still in a sellers’ market. As a home buyer, you may be facing some unique challenges, such as difficulty finding a home and volatile mortgage rates. However, despite these challenges, there are several benefits to being a buyer in today’s market that give you good reason to stick with your search.

Long-Term Benefits Outweigh Short-Term Challenges

One of the most significant benefits of owning a home is that it can grow your net worth over time. Every month that you make a mortgage payment, you’re building equity in your home. Freddie Mac puts it this way, “Homeownership not only builds a sense of pride and accomplishment, but it’s also an important step toward achieving long-term financial stability.” While the short-term challenges of today’s sellers’ market may be frustrating, the long-term benefits of homeownership are worth it.

Mortgage Rates are Constantly Changing

Mortgage rates have been hovering around 6.5% over the last several months. However, as Sam Khater, Chief Economist at Freddie Mac, notes, they’ve been coming down some recently. Lower mortgage rates improve your purchasing power when you buy, making homeownership more affordable. Hannah Jones, Economic Data Analyst at realtor.com, explains, “As we move into the spring buying season, mortgage rates have ticked lower, a welcomed sign of progress towards affordability.”

Home Prices Will Increase

According to the Home Price Expectation Survey, home values will go up steadily over the next few years after a slight decline this year. Rising home prices in the coming years mean two things for you as a buyer:

1. Waiting to buy a home could mean it’ll become more expensive to do so.
2. Buying now means the value of your home, and your net worth, will likely grow over time.

Bottom Line

If you’ve been trying to buy a home, don’t give up just yet. Despite the challenges of today’s market, there are several benefits to being a buyer right now. Long-term financial stability, lower mortgage rates, and increasing home values are all reasons why now is a great time to buy. As always, we encourage you to consult with a professional before making any major financial decisions.

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