Consider More Than Just Sales Price When Trying to Time the Real Estate Market

Real Estate Agent with BW Home Team

Still waiting for the bottom to fall out of the market to buy a home? You should consider more than just the sales price of a home when trying to time your purchase. Today's mortgage interest rates are at historical lows, with a 30 year fixed rate at 3.99% in some markets. Did you know you could save almost $150/mo on your mortgage payment for a $250K loan just by getting a loan for a 1% lower interest rate than your neighbor? To make the same dent in your mortgage payment by sales price alone, you would have to purchase a home with a sales price $30,000 lower, if the interest rate was equal to your neighbor that bought a year ago, say 5% interest instead of 4%. Those deals are tough to find, even in today's market!

The moral of the story is, take into account ALL items that affect your monthly mortgage payment, not just when sales prices are going to be their lowest. Today you can find historically low interest rates along with fantastic sales prices and save a bundle! Call BW Home Team today to get started! 1-800-720-2197!
Original article: Consider more than just the sales price when buying a home.
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Denton Real Estate
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Comments (1)

Carol Zingone
Berkshire Hathaway Home Services Florida Network Realty - Jacksonville Beach, FL
Global Realtor in Jax Beach, FL - ABR, CRS, CIPS

Becky - thanks for this post; too many people don't do the math to understand how the cost of money (the interest rate) affects how much home they can purchase.

Sep 09, 2011 01:32 AM