You can just feel it -- the housing market is coming back, and with spring right around the corner, things are sure to be busy and exciting these next several months. But there are lots of buyers out there wondering if this is the time for them to buy. Will prices dip a little bit more? What about interest rates?
Something to keep in mind is price versus cost. What is it going to cost you in monthly payments over the next 30 years to own that house?
The Home Price Expectation Survey is comprised of over 100 of the country's leading analysts and asks them what they think will happen to home prices over the next few years. For 2013, their average projection is that we will see a 3.1% increase. So a $250,000 home today would be $257,750 by year-end.
What about interest rates? Mortgage Bankers Association projects that interest rates are going to rise to 4.4% by the end of this year.
Using the example above, waiting until the end of year could cost you an additional $180+ per month. Annually it will cost you an additional $2100+, and over the life of the loan, over $65,000 additional in payments.
Don't only look at the price of the house or the current interest rate, but also the cost to you over time. If you are in a position to buy a house, this may be the time for you to do it.
Originally posted at http://peggywester.com/cost-waiting-sell-house/.
Comments(2)