If you’re living in Sacramento, CA and you’re wondering whether now is the time to look into buying a home, the answer is probably “yes.” It doesn’t matter whether you’re a first-time home-buyer that is tired of renting, or you’re already in a home thinking of moving on, this summer is a good time.
Why is summer now, in Sacramento, CA, a period when you should seriously think about buying? Have the conditions changed? Here are four good reasons why you should consider taking the plunge.
Prices Aren’t Getting Lower
While it’s true that there was a huge real estate crash in 2007, when the “housing bubble” burst, that was more of a financial exception, rather than a rule. In the bigger picture, the value of real estate rises steadily with every year, so people who are hoping for another crash, with rock bottom prices, may be waiting for a very long time.
If you look at your finances now and see that they’re in a favorable state, don’t necessarily rely on that being the same next year. Depending on where real estate is located, price hikes can happen quickly.
Mortgage Rates Might Go Up
Remember how we said you shouldn’t take favorable financial conditions for granted? Mortgage rates are one of those things that can fluctuate, and often not in your favor. Many financial experts are predicting a rise in mortgage rates as the American economy fluctuates with trade wars and other financial factors.
This means that if things get worse, buying a home next year could lock you into mortgage interest rates that you’ll be feeling every month. Better to take advantage of the calm before the storm now.
A Mortgage Is A Bank Account
In one way, you can look at a mortgage as a “forced savings account.” This is something that you’ll put money into every month, but unlike rent, this doesn’t disappear, never to be seen again. Every monthly payment brings you closer to paying off that mortgage, and every year, the value of your property increases.
If you’re paying some kind of money every month to something, whether it’s rent or car payments, understand that a mortgage is one type of loan that, in a sense, “pays you back.” The value of a home you own is much greater than the money lost to rent.
It’s Time To Change
If you’re ready to move on to a new phase in your life, there’s no time like the present. You might want to be a first-time homeowner. Alternatively, maybe you’re now the owner of an “empty nest,” and that four bedroom home is feeling too large and difficult to manage now that the kids have grown up, moved out, and are giving you grandchildren.
Whatever the case, moving on to another stage in the journey of life is always a good one, and if the financial conditions right now are good, think about taking the leap.
If you’re interested in finding a new home here in Sacramento, CA, then AP Mortgage is here to help. Reach out to us and let us know. We’ll be happy to find your new home this summer.