Is This the Year to Move Up to Your Dream Home? If So, Do it Early

What more can I say?  I have been saying for months that it is time to buy now while prices and mortgage rates are still very reasonable.  Here is an article quoting some very knowledgeable experts in the real estate industry.  If you don’t believe me, please look at what they are saying!!  Don’t wait any longer to start looking for your new home.  The double threat of higher prices and higher interest rates will price you out of the home you really want if you wait too much longer.  Call me and let’s get started.

Courtesy of Keeping Current Matters January 2017

Is This the Year to Move Up to Your Dream Home? If So, Do it Early | MyKCM

It appears that Americans are regaining faith in the U.S. economy. The following indexes have each shown a dramatic jump in consumer confidence in their latest surveys:

  1. The University of Michigan Consumer Sentiment Index
  2. National Federation of Independent Businesses’ Small Business Optimism Index
  3. CNBC All-America Economic Survey
  4. The Conference Board Consumer Confidence Survey

It usually means good news for the housing market when the country sees an optimistic future. People begin to dream again about the home their family has always wanted, and some make plans to finally make that dream come true.

If you are considering moving up to your dream home, it may be better to do it earlier in the year than later. The two components of your monthly mortgage payment (home prices and interest rates) are both projected to increase as the year moves forward, and interest rates may increase rather dramatically. Here are some predictions on where rates will be by the end of the year:

“We think that conforming 30-year fixed rates probably make it into the 4.625 percent to 4.75 percent range at some point during 2017 as a peak.”

Svenja Gudell, Zillow’s Chief Economist:

“I wouldn’t be surprised if the 30-year fixed mortgage rate hits 4.75 percent.”

Mark Fleming, the Chief Economist at First American:

“[I see] mortgage rates getting much closer to 5 percent at the end of next year.”

Lawrence Yun, NAR Chief Economist:

“By this time next year, expect the 30-year fixed rate to likely be in the 4.5 percent to 5 percent range.”

Bottom Line

If you are feeling good about your family’s economic future and are considering making a move to your dream home, doing it sooner rather than later makes the most sense.

Remember it is always toasty in Naples and you deserve your piece of Naples sunshine and your dream home.  Let’s start looking now before it is out of your price range!

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