Realtors have noticed many homebuyers pumping the brakes on home purchases in the last two months. However, it has not come to a complete standstill; however, the market is slower than it was in the spring. Future homebuyers are saying things like, “I am waiting for the prices to come down” and “I don’t like the interest rates.”
Let’s discuss these things briefly and why RIGHT NOW is still a great time to buy!
Interest rates are anticipated to climb higher this year. Why not get in while the rates are below 6% and beat the rising numbers? When the interest rates fall again later, you can refinance at that time.
Housing prices will increase – eventually.
I know it seems like everything is dropping in price now, but it’s not. (Well, not everything!) What happened was that sellers were aiming too high (based on spring sales) and now had to correct their pricing. What is happening is a stabilization in the market. Instead of prices jumping by double-digit percentages, they will climb at a slower and steadier pace.
We are seeing price decreases in those affordable price points at 300k and below. Mainly because homeowners insurance is just as much as if you were purchasing a $500k home!
Because you have people taking a moment to pause, bidding wars have ended. This is excellent news for you! Instead of having to shuffle through a house with 20 other people and make an offer of $50k over the list price, you have some breathing room and time to ponder if this is the right house for you!
There are some deals to be had out there! Some sellers need to offload their houses as quickly as possible. It’s a great opportunity for you to get a place that will end up with more equity down the line.
Also, this is your opportunity to ask for closing costs again! This was almost impossible over the last two years but is now back on the table!
If you’re ready to talk homebuying, schedule a time now!
Contact Team Be New Orleans