4 Reasons Why You Should Buy a Home Now

If you’ve been waiting patiently for the right time to buy your Albuquerque home, the last quarter of 2013 may well be your time! Rates on fixed-rate loans are still appealing, and experts claim it’s still cheaper to buy than rent. Some lenders are also a little more lax with their qualification requirements this year.

Here are 4 reasons why you should buy a home now…

1Mortgage rates are still low. The average rate for a 30-year fixed rate loan is currently hovering around 4.50%. Although this is 1.15% above the historic low of 3.35% we saw at the end of 2012, it’s still a good rate to lock into. The housing sector is strengthening and inflation rates are fairly low, which helps keep mortgage rates lower.

2Mortgage criteria is easing up. Financial institutions seem to be trending on the easier side of qualifying prospective homebuyers for a mortgage. Less stringent requirements may finally help some applicants get that elusive home loan. Those with good credit and some savings for a down payment just might be able to say hello to their dream home this year.

3Home prices are fairly low. Despite some local variances, there’s a glut of inventory across much of the country right now, and the average housing prices look encouraging. The Case-Shiller composite index for 20 metropolitan areas increased 1% this past summer, so 2013 is still looking upbeat at this time.

4It’s still cheaper to buy than rent. Particularly for urban areas, it may make more financial sense to buy a home than rent one (or an apartment). A 2012 Trulia Trends report showed that buying a home is 44% cheaper than renting in the 100 largest metro areas of America. Even with the slightly higher average rates we’ve seen in 2013, there’s still a significant price difference in total monthly costs. If you’re able to qualify for today’s lower rates, you may very well end up paying less in monthly payments while building equity in a home. Though renting can be more affordable in the short term, many renters face rising lease costs year after year.

So invest in your future with a home! Even if you end up selling your home in five to ten years, you could profit from the sale and invest that profit elsewhere. If you can get a fixed-rate loan at today’s lower rates, you won’t have to worry about your monthly housing expenses changing significantly for a few years. You’ll be paying into an asset, rather than losing money to a rental. Consider the security of making this type of investment into your future, month after month!

Have you been feeling a little apprehensive about making the move from a rental into your own home? Take a look at all the charming Albuquerque homes currently on the market and feel free to ask me your questions in the comments below. I can help you get your dream home! Whether you’re looking to buy or sell a house in the Albuquerque area, be sure to contact me today!