If you’re contemplating a move this year, two crucial factors are likely top of mind: home prices and mortgage rates. You’re probably wondering what the future holds and whether it’s the right time to make your move or if it’s better to wait it out.
Here’s the scoop on both fronts:
1. What’s Next for Home Prices?
Turning to reliable sources like the Home Price Expectations Survey from Fannie Mae can provide valuable insights. According to recent projections, experts foresee a continued rise in home prices at least through 2028. While the rate of appreciation may fluctuate, the consensus suggests that prices will continue to climb, albeit at a more sustainable pace. What does this mean for you? Buying now could mean your home will likely appreciate in value, building equity over time. However, if you wait, you might end up paying more as prices continue to escalate.
2. When Will Mortgage Rates Come Down?
The million-dollar question, indeed. The volatile mortgage rate environment is influenced by various factors, as explained by Odeta Kushi, Deputy Chief Economist at First American. Economic indicators, inflation trends, and geopolitical events all play a role in determining mortgage rates. While experts are optimistic that rates may decrease later this year, the situation remains fluid. As a CNET article aptly notes, housing market predictions evolve in response to changing economic conditions and global events.
In conclusion, if you’re ready to take the plunge into homeownership, partnering with a trusted real estate advisor is key. They can help you navigate the current market dynamics, weigh your options, and make an informed decision that aligns with your goals and financial situation.