2022 is here! Now that we are in a new year, we have so much ahead of us and the real estate market is constantly changing. Prices have gone up for homes due to the heavy competition, but so has rent due to inflation. Is your leasing contract about to end and you are not sure if you should buy or rent? Keep reading below and we will break down why buying a home now is your best option.
So one of the biggest changes has been interest rates. They are still fairly low compared to what it has been in previous years, meaning you would pay less over the life of the loan now then you would’ve in 2019. This is a huge incentive for getting a home in this time because according to real estate professionals, it won’t always be this low. Rates fluctuate just like the real estate market does, so get in there, and get the best rate possible for your future dream home.
RENT HAS GONE UP
In addition to everyday things going up in price such as food and gas, rent prices have also gone up. In fact, this is the highest economic increase in price that economists have seen in the last few decades. Crazy, right? While there is controversy of whether or not these prices are here to stay, rent will continue to rise in Florida due to so many people relocating to the sunshine state. The monthly rent prices are currently just as expensive if not more expensive than the average mortgage! From lower interest rates to rent going up, now is the time to buy and start collecting equity on your home.
THE FREEDOM OF OWNING A HOME
We get it, when you rent, it is less expensive to get in and doesn’t come with the responsibility of owning a home, but there are so many benefits that come from owning a home. For example, you have a lot more freedom in decorating your space and making it your own. You also have the freedom to invest in your property and make a profit out of it. From building an ADU in the backyard to renting out 1 room in the home, or maybe renting out the whole house when you’re on vacation, you have the freedom to do that when you own the home, and if done right, you can even invest enough money to pay the mortgage! A lot comes with owning your own home, but the best part is, it is yours, and the possibilities you can do with it and the land, are endless.
THE MARKET IS GRADUALLY BALANCING OUT
Although the market has been crazy since 2020, it generally fluctuates throughout the years and the market is more balanced today than it was a year and a half ago. We know that the thought of buying a home right now is intimidating with all the competition, but with the right real estate agent, the right mindset and patience, you can definitely find the right home for you!
Even though with down payments, closing costs and so much more when getting a home, it may not be as expensive as you think. There are so many programs out there that assist with down payment, and only require 3.5% down and so much more! Owning a home is doable, just make sure to save as much as possible.