What’s happening in our National Real Estate market?
Well, from my perspective, now may be a very good time to buy and here’s why:
The percentage of income needed to buy a median priced home is down from the historic norm of 21.2% to 15.7%. That means when you take everything into consideration, including the price, mortgage rate, and wages, it’s more affordable to buy a home now than it has been in the past. This is also great for sellers because it means that more buyers can afford to purchase. Couple that with low interest rates and now is an ideal time to buy. This is especially good during the holiday season as we tend to see the housing market slow up a tad.
See more on why selling in the fall is a great idea!
Let’s Talk About The Recession
Now, there’s all this talk about a recession in our future. According to most of the real estate experts, advisors and analysts across the nation, but I am going to keep reminding you that recession does not equal housing crisis. In the last 3 out of 5 recessions, we actually saw prices increase. We need to be more worried about all the hype and negative media the news is trying to create. Also, according to the Home Price Expectation Survey, which is made up of over 100 Real Estate Experts, Financial Advisors, Analysts and Economists, we are going to see appreciation over the next 5 years. Take for example a home priced at $250,000 you’ll see a $37,500 increase in equity. So we are anticipated to still see equity, even during the projected recession, just not as much as we have seen in previous years. Also, remember, don’t wait to buy because you’re afraid of all this negative media, as rents are also increasing and are anticipated to continue to go up.
If you’re interested in buying a home, just hit the contact me tab and submit your info. I can’t wait to talk to you!