Have you been renting for years or have you grown tired of your current home? Interested in buying something newer? Either way, it’s not a decision you should make lightly. Since buying a home is a huge financial purchase. There are many factors that go into knowing if it is a good time to buy a new home.
Is Now a Good Time to Buy a New Home
If you’re wondering if now is a good time to buy a new home, here are some things to keep in mind.
Interest Rates
For starters, find out what the interest rates are when you want to buy a new home. While they have generally been quite low for a while, interest rates can vary and change quickly. Since you’ll likely have a 30-year mortgage on your home, buying when interest rates are high means you’ll pay thousands of dollars in excess interest.
Is It a Buyer’s or Seller’s Market?
If you want to get the best deal when buying a home, try to do so during a buyer’s market. A buyer’s market is when there are more people selling their homes than there are people looking to buy. As a result, sellers are eager to get rid of their homes. Since they’re eager to sell, they’re more willing to take a lower price or add other perks to get you to sign on the dotted line. If you’re not sure about current market conditions, consider reaching out to a local real estate agency for that information.
How’s Your Financial Situation?
If you have a steady job where you expect to have plenty of money for a house payment over the next two or three decades, it’s probably a good time for you to consider buying a new home. To make things even easier on yourself, you may want to try paying down any credit card or other debt you currently have, since this will free up more money to buy the home of your dreams.
Are You Ready to Settle Down?
Last but not least, evaluate whether or not you’re ready to put down roots in one spot for a few years. If you love the area where you live and want to settle down and raise a family, homeownership is probably for you. However, if you expect to be relocating for your job or just don’t want the many responsibilities that come with homeownership, you may want to reconsider.
By relying on the advice of an experienced real estate agent and taking an honest look at your finances and other aspects of your life, you’ll make the right decision about buying a home.
About the Writer: Anica is a professional content and copywriter and a University of San Francisco graduate. She loves dogs, the ocean, and anything outdoor-related. Anica, raised in a big family, is used to putting things to a vote. She recommends The Dave Hooke Team: Keller Williams of Central PA for real estate recommendations.
