Hey there all you Millennials. Do you see your friends and siblings buying homes? What about you? Are you asking yourself this question – Should I buy now or wait until next year.
That’s a question many people are pondering. Should they purchase a new home now or should they wait?
Here’s some info that may help you decide. This is strictly pertaining to financial considerations. I cannot advise you as to emotional decisions. That is strictly on you.
The interest rate today is 3.83%. It is predicted that in one year the interest rate will be 4.4%. For a mortgage of $250,000, the current payment (principal and interest) would be $1169.17 per month.
If you wait one year to purchase the same house, the predicted price of the house will have increased 5%, and the mortgage would be $262,500. This would result in a monthly payment, at 4.4%, of $1314.50.
In this scenario, the same house, if you wait one year to purchase will cost you an extra $145.33 per month. This works out to $1,743.96 per year. And, get ready for this one, over the 30 year life of the mortgage, it will cost you an extra $52,319 !
If you wait until next year, will you then wait for another year? And another? At that rate you may never own your own home.
Here come the commercial break. You should investigate our web sites, www.BunnyandArt.com www.55PlusInOcean.com www.55PlusinMonmouth.com . And when you are ready to get serious ablout buying your own home, call your Realtors. Call Bunny and Art Reiman. Our cell number in 732-598-7700.