In today’s real estate market, buyers have a tendency to focus on price when searching for a new home. But, they really should focus on the long term cost of a home.
In November 2013, the Mortgage Bankers Association (MBA), the National Association of Realtors, Freddie Mac and Fannie Mae estimated a 1% increase in mortgage interest rates in the next 12 months. They also projected that home prices will continue to rise. What does this all matter to buyers that are considering buying homes now or waiting for up to 12 months?
Let us show you! Check out the chart below. A home purchased today versus next year for the same price could cost you as much as $150 more per month due to the projected interest rate. Who wants to pay more for the same thing? Buyers should understand the potential costs of waiting. Contact your Ruhl&Ruhl Realtor to learn more!