The News about low-interest rates is all over the place right now. It seems like common knowledge that these low mortgage rates mean that it’s a good time to buy, but not many people know why.
Here are some ways that lower mortgage rates could benefit a buyer.
1. Better rates to buy: Lower mortgage rates means home buyers will have lower monthly payments, which means that it’s more affordable to purchase a home. This can mean a lower monthly payment than planned or more house for the same mortgage.
2. Buy sooner than planned: Now that the rates are lower, buyers might be able to make the leap sooner than they had expected. It’s certainly a great incentive for starting the home search.
3. Higher inventory: Because of better rates, more people are ready to step into their next home. We see it across the board with homeowners. With lower rates, people with starter homes make the move to a larger home. Likewise, empty nesters might take advantage of lower rates to move to a smaller home. All this movement creates more inventory, which is always good for buyers.
4. Make the house better: By locking in a lower mortgage rate, many buyers are able to buy a house that needs some love. Whether it’s simple updates or a total HGTV-worthy renovation, purchasing a house that needs work with a low rate is a good way to build equity in a home quickly.
5. Lock it in: Sure, low rates are great for the immediate future but keep in mind that these low rates will be locked in for as long as 30 years if you take advantage now.
These lower interest rates could be just the thing to make buying a home now an even better investment! In addition, the Raleigh real estate market continues to be a great investment. If you’re wondering if this is the right time to buy a home, contact Raleigh Cary Realty.