The dream home. For some, it is a two-story traditional style with white trim, white picket fence, and a swing swaying from a lush, green tree in the front yard. For others, it is a contemporary style with intriguing angles, bold natural light cascading in, and a state-of-the-art remote controlled fireplace. You’ve probably driven by the dream house that makes you swoon. And if it’s for sale, what’s stopping you from buying it? The time to grab your dream home is now. The current market has the right mix of factors making ideal buying conditions--but it won’t last long.
Your dream home is affordable.
The housing market is in full recovery mode, and buyers who were hesitant to purchase a home because of market instability are now jumping in. Homes are being snatched up and housing prices are increasing nationwide. So, your dream home may never be priced as low as it is right now. While home values are rising, interest rates remain low--30-year fixed rate mortgages are at around 4.01% nationally and have been as low as 3.79% this year; both are historically low figures. If you drag your feet you could miss out on a great low price, a great interest rate, or both. It’s an outstanding time to buy the home of your dreams for a realistic price.
Your dream home will cost you less than renting over time.
When averaged nationally, buying a 210k home has the same monthly payment of $940 as renting does over a 7 year span, according to the realtor.com Rent or Buy Calculator. But, that number won’t last for long because rents are rising. The average American is spending nearly 20% more of their income on rent than they did 10 years ago. Zillow states that using 30% of income on rent has negative effects on finances. The way rents are going, renters may be facing that reality soon – some already are. Home prices are also on the rise, but the difference is that while rent increases are inevitable from lease signing to lease signing, a fixed-rate mortgage will stay the same year after year for the life of the loan. Buying is now the more stable option.
Your dream home will be yours as long as you want it.
Take a look at your job. Is it secure? It likely is more secure than it has been in years? The U.S. economy added more than 200k jobs in April 2015, mending fears that jobs may be headed towards another skid. While the monthly jobs numbers may fluctuate, the job market is undeniably on the rise. This stability should ease any anxiety over the possibility of a layoff after you buy that dream home. Take advantage of the rising jobs numbers and jump on your dream home now before buyers, hesitant over job stability, come to their senses and flood the housing market.
Whether you are renting or you are currently in a home and need to upgrade to accommodate a growing family, the market may never be as good as it is right now to purchase your dream home.