With the current changes in the market, many buyers are hesitating. A good example is one prospective buyer who said that they’re going to wait three to four months. It turned out that after talking with a financial advisor, they were advised that they should wait three or four months to make a purchase.
The question is… why?
Why would it benefit you by waiting, especially given the fact that there’s a 99.9-percent chance that mortgage interest rates are going to continue to rise?
What does that mean? That means that you can afford less with the same monthly payment and your buying power has been decreased. Thus, it’s going to cost you more to buy the same house that you want to buy today. That is given the fact that real estate prices are continuing to rise regardless of the fact that interest rates have risen. So now, you’re faced with a higher monthly payment with higher mortgage interest rates and prices that have continued to outpace inflation and have become a good alternative to the investment markets with stocks and bonds.
The affordability is going down. By waiting, it’s actually going to cost you more.
If you find the right home that checks all the boxes, it would be best for you to move forward with that purchase.