Volume 1, Issue 7 | July 2014
4 REASONS TO BUY YOUR HOME NOW!
Rising Prices • Interest Rates Rise • Paying for a Mortgage • Move On
Here are four great reasons to
consider buying a home today instead
of waiting.
1. Prices Will Continue to Rise
The Home Price Expectation Survey
polls a distinguished panel of over 100
economists, investment strategists,
and housing market analysts. Their
most recent report released
recently projects appreciation in home
values over the next five years to be
between 9.4% (most pessimistic) and
30.8% (most optimistic).
The bottom in home prices has come
and gone. Home values will continue
to appreciate for years. Waiting no
longer makes sense.
2. Mortgage Interest Rates Are
Increasing
Although Freddie Mac’s Primary
Mortgage Market Survey shows that
interest rates for a 30-year mortgage
have softened recently, most experts
predict that they will begin to rise
later this year. The Mortgage Bankers
Association, Fannie Mae, Freddie
Mac and the National Association
of Realtors are in unison projecting
that rates will be up almost a full
percentage point by the end of next
year.
An increase in rates will impact
YOUR monthly mortgage payment.
Your housing expense will be more
a year from now if a mortgage is
necessary to purchase your next
home.
3. Either Way You are Paying a
Mortgage
As a recent paper from the Joint
Center for Housing Studies at Harvard
University explains:
“Households must consume housing
whether they own or rent. Not even
accounting for more favorable tax
treatment of owning, homeowners
pay debt service to pay down their
own principal while households that
rent pay down the principal of a
landlord plus a rate of return. That’s
yet another reason owning often
does—as Americans intuit—end up
making more financial sense than
renting.”
4. It’s Time to Move On with Your
Life
The ‘cost’ of a home is determined by
two major components: the price of
the home and the current mortgage
rate. It appears that both are on the
rise.
But, what if they weren’t? Would you
wait?
Look at the actual reason you are
buying and decide whether it is worth
waiting. Whether you want to have a
great place for your children to grow
up, you want your family to be safer
or you just want to have control over
renovations, maybe it is time to buy.
If the right thing for you and your
family is to purchase a home this year,
buying sooner rather than later could
lead to substantial savings.
PODCAST OF THE MONTH
Episode 215
Bill joins the KLAD Wake-Up crew to
discuss local real estate statistics for
May 2014. They also discuss a little
about the Car Show.
Hear the podcast in its entirety by
visiting http://bit.ly/Episode215
DIY VIDEO TIP
Water feature from a pot
Do you want a new water feature
for your back yard but do not know
where to start?
This video from our friends at DIY
Network explain the steps involved in
creating a large pot water feature for
your back yard.
http://bit.ly/DIYTipJuly2014
http://bit.ly/1m4e05u