Sell your home fast while interest rate still low. With low mortgage rates home buying and selling is a win-win situation for both buyers and sellers. Buyers can get more of a home for their money and home sellers get more money for their home.
If you’re selling your home and looking to buy your dream home, the time is now. According to CNN, home sellers are seeing the biggest gains in eight years, and home buyers are enjoying equal opportunity with mortgage rates still at record lows. Often you hear it’s either a seller’s market or a buyer’s market in real estate. However, right now, based on pricing, low mortgage rates, and skyrocketing rental fees, the time is right for both buyers and sellers.
The top six reasons for selling your home and buying new one right now are:
1. Interest rates are still low; for now.
Mortgage interest rates have been bouncing for a while, but continue to be considered at record lows. Currently a 30-year fixed-rate mortgage can be locked in for less than 4-percent from certain lenders, and in some cases that rate may hover even below 3.5-percent. However, it’s expected that the Federal Reserve will increase interest rates soon. As soon as these increases are enacted, the buyer’s window for securing a low rate for a home mortgage will slam shut.
2. Sales for existing homes continue to rise.
According to the National Association of Realtors, “Sales of existing homes rose 0.4 percent last month to a seasonally adjusted annual rate of 5.47 million.” 2015 was a strong year for home sellers, with real estate sales reaching a nine-year high-point. There is a healthy demand for homes, making it easier to sell your home fast.
3. Home affordability is up.
Maybe you’ve been hesitating to upgrade to a better neighborhood with better schools or you want to make that jump from renting to ownership, but the price has just seemed to high. Now is the time to make that move. The home affordability index looks at a variety of factors including interest rates, housing prices, and average income to determine just how affordable housing actually is at any one point in time.
Currently, the home affordability index is high, which indicates that right now is one of the most affordable times to purchase a home, whether you’re a first time buyer or looking to upgrade (or even downsize.)
4. Rental rates are high.
The United States Census Bureau reports that in the fourth quarter of 2015, the median asking rent for vacant rent units was $850. This number has steadily risen in the last several years and is not expected to decrease. With rental rates high and soaring, it can be financially beneficial to ditch the rental and invest in a mortgage and home ownership.
5. Supply likely to dwindle.
For both buyers and sellers, the home market supply is likely to dwindle. It’s simple — the best homes in the best markets sell first. With interest rates low and rental rates high, the demand for great homes in good neighborhoods with amenities like parks, shopping, and low crime rates grows leading to a dwindling supply.
6. Owning a home improves your wealth.
Ownership of a home may come with a mortgage, but with that home loan you’re building equity. When renting, you’re actually paying for your landlord’s mortgage. As a homeowner, it’s your mortgage, your property, and your legacy of wealth to share and pass on to your family.
If you’re currently employed, have a solid credit history, and are ready to ditch renting or upgrade to a better neighborhood, downsize to a more manageable living space, or enjoy a larger family home, now is the time.
To sell your home fast and for the most money, contact Mona Koussa 925-831-9615