Johnson County, KS first time homebuyers sometimes think they're not ready to buy their first home. Sometimes, they are not. Sometimes they are just hesitant to take that step. While I would never want someone to buy a home before they are ready, there is a cost of waiting and that often goes unrecognized. With the upward trends in both interest rates and home prices, hesitancy can be costly and squeeze people out of the market.
I wanted to back up my opinion with some facts so I looked at the average cost of a Johnson County home in February, 2013 compared to the average cost of a Johnson County home in February, 2013. The average Johnson County home sold for $219,608 in 2013. That same average Johnson County home sold for $227,313 in 2014----a difference of $7,705.
But that's only part of the story for first time home buyers in Johnson County. Interest rates also changed--from 3.53 in February 2013 to 4.3 in February 2013 (according to Freddic Mac historical mortgage interest rates). What would have cost $792 per month will cost $1,015 in 2015. Take advantage of today's prices and rates and the cost is $900 per month, an expected cost of $115 per month or $1508 per year. The graph below illustrates what happened between February 2013 and 2014 and what we can expect to happen in 2015.
Johnson County Home Buyers, have I convinced you to take a second look at buying that first home now? Prices are going up. Interest rates are going up. You can buy more home now than you will be able to purchase a year from now. In addition, Kansas has some zero down payment options and some banks are offering low down payment options that make it feasible. My illustration is based on a 20% down, but first time home buyer programs are available that make it a 3% down or even zero down in conjunction with an FHA loan.
Give me a call to learn more about purchasing your first home. My job is to walk you through the process and help you get started on the right foot. Get started now and make home appreciation work for you instead of against you. I'm here to help.
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Check it out. This may be your time to buy.
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