Are you hesitant about taking that leap toward homeownership? Most people are! It can be hard to know when is the right time to buy. Here are some facts about the current state of the housing market that might help you make a decision:
The latest Freddie Mac Primary Mortgage Market Survey recorded an average 30-year, fixed-rate mortgage of 4.21% for the week ending May 8, continuing to fall from 4.29% a week ago. Compared to national averages though, mortgage rates for a 30-year FHA loan in West Texas are even lower! They are currently around 3.375%.
2. Renting is getting more expensive
A recent Zillow study, found that buying is currently twice as affordable as renting. Home buyers can expect to pay 15.3% of the area median income (AMI) on mortgage payments, while renters can expect to pay nearly double that – around 29.9% of AMI.
3. Healthy housing market
The economic index has risen to .88 from .82 last year. NAHB chairman Kevin Kelly said in a Housing Wire article, “Mortgage rates are low, home prices are affordable and with the harsh winter behind us our latest surveys show builders are feeling more bullish about future sales conditions.”
Taking advantage of current factors could save you money over the life of your mortgage. Read Part Two and see how waiting even another year to buy a home can end up costing you nearly $20,000 more.
Homeownership is an empowering step that can lead to an enhanced quality of life and in many cases is more attainable than you might think. Visit betenbough.com to see how easy it is to start your next chapter of life in a brand-new home!