For sure, 2017 can be the year you become a homeowner for life. Here are four great reasons to buy your first home in 2017.
1. Prices Will Continue to Rise. Buy Now and Take Advantage of Low Prices
Real estate price indexes like CoreLogic predict that home prices will continue to increase at a rate of 5.0% over the next year (2018) and they have appreciated by 6.7% over the past 12 months. The bottom line is home prices have come and gone and home values will continueto appreciate for years to come. Waiting no longer makes sense.
2. Mortgage Interest Rates Are Projected to Increase
Freddie Mac’s recent mortgage survey shows that interest rates for a 30-year mortgage have hovered around 4%. That is good news. Yet, most experts predict that mortgage rates will also rise over the next 12 months. An increase in mortgage interest rates will definitely impact YOUR monthly mortgage payment.
The bottom line is that a year from now, your housing expense will increase if a mortgage is necessary to buy your next home.
3. Either Way, You Are Paying a Mortgage
There are some renters who have not yet purchased a home because they are uncomfortable taking on the obligation of a mortgage. Everyone should realize that, unless you are living with your parents rent-free, you are paying a mortgage – either yours or your landlord’s.
As an owner, your mortgage payment is a form of ‘forced savings’ that allows you to have equity in your home that you can tap into later in life. As a renter, you guarantee your landlord is the person with that equity.
Are you ready to put your housing cost to work for you?
4. It’s Time to Move on With Your Life
The ‘cost’ of a home is determined by two major components: the price of the home and the current mortgage rate. It appears that both are on the rise.
But what if they weren’t? Would you wait?
Consider the actual reason you are buying a home and decide if it is worth waiting. Whether you want to have a great place for your children to grow up, you want your family to be safer or you just want to have control over renovations, maybe now is the time to buy.
If purchasing a home for you and your family is the right thing for you to do this year, buying sooner rather than later could lead to substantial savings.