If you’ve been paying attention to the news, you know that interest rates and home prices are rising. As a result, many first-time buyers have asked me recently, “Should I wait until the market changes?” My short answer is no, and today I want to explain why. 

The first reason why you shouldn’t wait to buy is that interest rates will only continue to rise. If you check out the graph at 0:34 in the video above, you can see that our current rates are still low from a historical perspective. However, they’re likely to increase further to combat inflation. Interest rates have a huge impact on your monthly payment and what you can afford, so I recommend getting into the market now while they’re still good. 

"Homes are appreciating rapidly, so you’ll accrue equity fast."

Another reason not to wait is demographic trends. If you look at the graph at 1:18 in the video, you’ll see that an even bigger group of first-time buyers is coming right around the corner. Your competition for entry-level homes will only increase as these buyers hit the market. 

Homeownership also provides many financial benefits. First, it’s a great way to protect and save money. Homes are appreciating rapidly, so you’ll accrue equity fast. Plus, you’ll lock in your monthly payment, so you won’t have to worry about inflation increasing your rent. Why not start making payments and building your wealth instead of paying a landlord and increasing theirs? 

Finally, it’s easier to get offers accepted this time of year. As we head into Q3, competition will decrease. This will be a fantastic opportunity to get a great deal on a home. 

Those who have waited for a crash over the last few years have lost tons of money by doing so. If you would like to build your wealth and own a home, please call me at 651-998-2098 or email realestateteam@sandyerickson.com. I look forward to hearing from you!