As uncertain as the last few years have been, we understand the hesitation one might feel in buying a new home. Although real estate is always a good investment in your future, should you purchase a home right now or wait until the new year with hope that the world returns to normal? If you have the money to invest now- we recommend purchasing a home. If you are worried about your finances or feel unstable in your current job, we recommend holding off until the new year.
Can You Afford It?
With rising interest rates and increasing house prices, it is important that you evaluate your financial situation before considering purchasing a home. Do you have money saved up for a down payment? Are you prepared financially if you take a pay cut at work or if even worse, you lose your job?
These are all important questions you should ask yourself before considering making a large investment. If you are confident in your current financial state, we definitely recommend looking at your housing options! You will save money compared to renting!
Monitor the Housing Market
Over the past 2 years, housing prices have steadily risen since the beginning of the pandemic. Many people would take a look at the housing market and think that because the prices of homes are going up – they should wait until next year to invest in one. However, this is not the case. Mortgage rates on homes right now are experiencing a record high- and experts have suggested that they will continue to do so. We recommend taking action to invest in your future now. Housing prices, as well as interest rates are expected to rise.
Location Will Determine the Price
Remember that home listing prices change depending on the location! One reason for the increased prices might be because of a shortage of homes for sale in your particular area. We recommend running comps, these are similar houses with similar prices in the same neighborhood, before choosing the location to move. This will ensure that you are either buying for a fair price, or selling your home for all that it is worth.
Fewer Homes as the Year Closes Out
December can be a challenging month because homeowners sometimes like to hold off-putting their homes on the market until the new year. If you are house-hunting right now, you may not be able to find the home you are looking for.
We want you to love your home, so waiting for the right one to come along is always a better option than settling for a house that may be of lower quality just because there is no other option.
2023 Prices Will Likely Increase
There is no guarantee that a better deal is going to come along in the year 2023. As the world slowly recovers from the pandemic, job rates return to normal, people have been buying and selling homes again. Although the supply of homes will be large again, the prices will also rise, making homeowners less likely to budge on asking prices.
Should You Buy or Sell?
As the year closes out, we recommend staying up-to-date with your local real estate agents. Let them know of the type of home you are selling, and they will be able to guide you through the process and steer you clear of any mishaps. Evaluate your own financial situation and determine whether home selling or buying is an option for you right now or if you should hold off until the new year.
Lastly, if you are able to invest this month, we highly recommend taking advantage of current home rates and home prices! As far as selling your home, we suggest selling before the new year if you are ready for a change- if it’s not imperative you sell asap, wait it out! If you wait to list your property- you will likely be able to make more money by waiting to sell.
Contact Charles Burt
Ready to get your home on the market? Charles Burt would love to help. Contact our real estate agency service at CharlesBurt.com for more information about listing your home on the Missouri housing market.