Mortgage Interest Rates.

Waiting for interest rates to drop before entering the market? Here are a few reasons why you might want to reconsider if you’re financially ready to purchase: 

• Rising rates mean a drop in home prices. When interest rates are higher or increasing, the housing market slows down. This slowdown then results in a decline in home prices. Chances are, by waiting for interest rates to drop, prices in homes will increase - making it more challenging to get approved for a higher loan amount. 

• Fewer buyers in the market. It becomes more challenging to qualify for a loan when interest rates are high, so fewer buyers will compete for existing home inventory. Fewer buyers means less demand - giving an advantage to those entering the market. 

• Less buyer risk. With buyer competition chasing a limited supply of homes, many buyers were waiving contingencies. This is because offers with fewer contingencies present a better chance of being chosen by the seller. With less competition, inspection and appraisal contingencies are re-emerging allowing buyers to feel more confident submitting offers with minimal risk.

You can change your interest rate by refinancing once rates drop, but you can’t change the price of what you bought your home for. Time in the market is ALWAYS better than timing the market.

Don’t wait to buy real estate, buy real estate and wait.