1. Lowest Housing Prices in Years
Home listing prices have been at their lowest in several years and they are now inching back up again. So buying now or in the near future may be the right time for you. An abundance of bargain –priced housing is now available because of foreclosures. It’s a red-hot market right now inFresnoandClovis!
2. Interest Rates at a 50-Year Low
According to housing analysts, interest rates are now at a 50-year low. Today’s 30-year rate, as low as 2.75% fixed for 30 years, is an attractive inducement to first-time buyers, or buyers who want to either move up to larger residence, or others, including many empty-nesters wanting to sell and move into smaller homes or condos.
3. Interest Rates Expected to Go Up
As the economic recovery gains momentum, interest rates are expected to increase, making mortgages more expensive. Even a half-percent increase in mortgage interest can add a hundred dollars or more to your monthly payments, depending on the amount of your loan.
4. Low Down-Payment Mortgages Available
Low-down-payment financing through Federal Housing Administration insured mortgages is available as an additional inducement to buy a house now. Down payment minimum requirements also fluctuate and may increase as the market heats up, so potential buyers with less cash to consummate a deal may be well-advised to buy now.
5. Easy to Qualify, Easy to Borrow
Lending standards have become less rigid recently, so qualifying for a mortgage may be easier. Here at California Property, we advise that potential buyers become pre-approved for a loan by a lending institution- meaning that a lender guarantees to make the loan contingent on an appraisal of the property. The good news in seeking pre-approval is that lenders are now willing to let a potential buyer take on more debt than the previous formula allowed- a percentage of monthly income.
So, what does all of this mean for you…
With the convergence of the factors above, all of which are favorable to you, the home-buyer, there may not be a better time to buy than right now. Like everything else in life, the bargain deals won’t last. To help determine if this is the right time for you to buy, call The Kelly Holcomb Team at California Property 559.447.1978.