Mortgage Rates Fall Below 3%
For the first time in 50 years, mortgage rates have fallen below 3%. If you've been on the fence about whether or not it's a good time to buy, it is a great time to buy!
In 2008, the recession caused home prices to plummet. Many of my customers have asked if they should wait to see if the current economic troubles will cause home prices to come down again. But the difference between 2008 and now is supply and demand. There is a housing shortage, and has been for several months. And it's been a seller's market for years now, with home prices continuing to go up. There simply isn't enough inventory, enough homes on the market to go around. This creates less competition, and allows prices to continue to rise. With new construction, the rise in material costs to build new homes makes it difficult to build homes in the $200,000 range. Most new homes are an average of $300,000 in the Georgia market.
The summary, if you're waiting for home prices to come down, you'll be waiting a while. However, these historically low mortgage rates will help keep monthly payments low and get you more home for your money, even with the rising cost of homes.
Call me for more details or to set up a Buyer Consultation.