Are you someone who plans to buy your dream home? If you are, you are probably getting tons of advice from family and friends.
While their intention is good, they may not have known fully what your needs are. They may not have a full grasp of what’s going on in the real estate market.
To help you make a decision, here are questions that will guide you when buying your dream home. These questions will help you determine if it’s the perfect time for you to buy your dream home.
1. Why am I buying a home?
This is the most important question you need to ask yourself. If money was not an issue, why would you buy a home? For most, money has nothing to do with their reasons.
Seventy-five percent of parents say that their child’s education is an important part of the search for a new home according to a survey conducted by Braun.
This study is supported by another study by the Joint Center for Housing Studies at Harvard University.
The study revealed that the top four reasons Americans buy a home have nothing to do with money. They are:
- A good place to raise children and for them to get a good education
- A place where you and your family are safe
- A spacious place for you and your family
- Control of space
2. What’s the direction of home values?
The median price of homes sold in December was $232,200, up 4% from last year according to the latest Existing Home Sales Report from the National Association of Realtors (NAR). This is the 58th consecutive month it increased with year-over-year gains.
Corelogic forecasted a rise by 4.7% from December 2016 to December 2017.
A home that costs $250,000 today will cost you an additional $11,750 if you wait until next year. These reports tell you that with prices increasing each month, you might be spending more if you wait until next year to buy your dream home.
3. Where are mortgage interest rates headed?
You must be concerned about more than just prices. A small increase in mortgage rates can dramatically impact the long-term cost of a home.
The mortgage interest rates will increase over the next twelve months according to the Mortgage Bankers Association (MBA), the National Association of Realtors, and Fannie Mae as shown in the graph below.
By answering these questions, you and your family will know for certain if it’s the right time to purchase your dream home.
Asking the help of a professional before buying your home is crucial. At Burgess Group Realty LLC, we help our clients find the best deals in the market. Let’s meet up so we can help you buy your dream home.
CALL Catherine at 303.506.5669.