How is the real estate market? When is the best time to buy or sell a home?
I’ve read over 100 blogs, talked to a number of different economists, and looked into my crystal ball, and I know for a fact that the best time to buy or sell a house will be when the market shifts in June of 2018.
I’m just kidding.
If anyone tells you when the bottom of the market will be, they are lying to you. It’s all speculation. Nobody knows exactly when the bottom of the market will happen. All anyone really knows is what’s going on right now. There are so many variables that come with the real estate market that it’s hard to predict the future. You have to look at how much inventory is available, what the interest rates are, how the job market is doing, and more!
Right now, the market is going strong for sellers. Interest rates are still very low. Inventory is growing slightly and demand is still high. I want to challenge you to change your mindset a bit. I meet with buyers and sellers on a daily basis, and I find that a lot of people who approach me have more of an “investor mindset” than a “first-time buyer” or “quality-of-life mindset.”
Stop worrying about how the market is and start focusing on what a home is worth to you. A lot of people are moving for a specific reason: they have to relocate for work, want to be closer to their kids, need a bigger house, need to downsize, or want to upgrade from a condo to a single-family home. The point is, everyone is different and has different needs.
Recently, a client approached me and said, “I really want to buy a home but I feel like I’ll end up overpaying for a property in this market.”
The reality is that if you’re a buyer, you’re going to pay a premium for homes on the market right now. We are in a strong seller’s market. Still, the best time to buy a home is when you can afford it.
Becoming a homeowner is about more than making an investment. Yes, your home will go up in value and there are tax benefits each year, but those are the cherry on top. You should buy a home to maximize your quality of life.
Talk to your lender so that you understand what you can afford. Then, if your agent can find properties that you want at that price point, you should go ahead and buy. The longer you wait, the more risk there is. That’s the beauty of buying and owning a home. Your payment will be fixed for 30 years; the same cannot be said if you are renting.
I know that buyers want to buy at the bottom of the market and sellers want to sell at the top, but timing the market is difficult. Don’t hold off on your dreams because you think you might be able to get a house for $10,000 less than you can now. After all, it may not happen, and you could find yourself in a worse situation than you were when you first started thinking about buying.
If you have any questions about buying a home in our current market, give me a call or send me an email. I would be happy to help you!