I think this is the question on a lot of minds. We keep hearing and reading how the rates are at all time lows and we need to “jump” on them and refinance or buy a home. We also see in the news that the realestate market is staying strong and home prices have increased from this month last year and from the past years the median home sales price has been slowly increasing. So is it the best time to buy?
This is a tricky question to answer because it is yes and no. IF you have already been putting your ducks in a row, waiting to buy, meaning you have been clearing any problems on your credit, paying down debt, saving money for a down payment and have even met with a lender and been pre-approved, then yes you should go out looking! And hopefully when you find a property you are ready to put an offer on the table.
Now if you have NOT done any of the prep work, then no, now is not the time to be jumping in a car with a realtor or go searching neighborhoods for homes for sale. Right now the inventory is still low so this puts a little pressure on those homes listed because the good ones will possibly go into bidding wars and if you are not pre-approved you are in no position to be in a bidding war.
The real estate market is making progress and we have seen some values go up but it is still not enough for sellers to rush in and put their property for sale. They are still holding out for better values. Now there are a few areas where if you want to live in these areas you may want to “act now” because they are showing demand and prices are strong. Per realestate.msn.com these are the areas:
Fort Collins-Loveland, Colo
It would be best if you are wanting to buy a home within this next year and you haven’t done the leg work in getting everything in order than now would be the time to do so. The market is not going to change overnight, but the sooner you get your credit, down payment and pre-approval the better prepared and ready you will be when it’s time to “jump” on a property!
Just because rates are low and home prices are still down doesn’t mean you are ready to buy. Wether you get the lowest rate or need to wait a couple more years and rates have increased 1-2% it will not drastically change your payment nor would it make any impact on if you “should” buy. The ultimate time to buy is when you know you are ready regardless of the rates and home prices.
If you don’t know where to begin and would need to help getting started please give me a call or email me! If you know you are ready and would like to get pre-approved please complete an online loan application. Also check out the loan process.
Summit Mortgage Corporation