With the Market as Hot as it is I have had several first time Buyers ask whether it may be worth waiting until the market crashes before buying?
Well….I wish I had a crystal ball.
There are a few things I know for certain.
Historically, home values in our area have increased an average between 3-6% annually.
Real estate has always been viewed as a stable investment over long term….even after the crash that we experienced in 2008, values have recovered and far surpassed those levels (gee I would love to be able to buy real estate at 2008 values today!).
So buying now makes sense.
Why pay rent when you can own?
This example will make is crystal clear.
If you took out a 25-year fixed-rate mortgage for $300,000 and made monthly mortgage payments of $1,474.
You would pay $442,244.00 in mortgage and interest payments over the 25 year life of the loan.
After that 25 years you would own a home with an appreciated value potential of $628,000 (3% annual appreciation) or $1,287,000 (6% annual appreciation).
That’s $186K-$845K in appreciated value and a home!
Compare that to paying $1000 per month in rent over 25 years…
That’s $300,000 in your Landlord’s pocket!
And some crazy Landlord stories to boot!
Call us now, it is a great time to Buy your first home.