Renting or buying...the age old question
With rents steadily on the rise and mortgage rates at nearly a 3 year low- which option makes more sense for your clients in todays market?
In my opinion it really comes down to baseline affordability because many folks simply cannot just buy a home right now- it takes time to prepare yourself overall. A homebuyer generally needs to have stron job stability, credit score and conservative overall debt load to even think about getting prequalified (and of course a down payment).
The first and most important thing to do is to get educated on credit scores and how they impact you. If you're looking to learn some great credit hacks then head over to my recent post and learn a few new tricks (go ahead and share it on FB too if you think it's any good).
Charlotte Average Rent
A 2019 analysis showed that the average rent in Charlotte for a 1 bedroom apartment was nearly $1460/mo which is up over 5% from last year. Two bedroom apartments toppled nearly $1607/mo according to Rent Jungle.
You'd be really suprised to see just how much house that can really afford you rignt now and there are currently a ton of great options for first time home buyers if you know who to talk to.
Home Purchase Sentiment Hits Record High
Fannie Mae's Home Purchase Sentiment Index (HPSI) hit a record high in July which means that despite low inventory and high prices, Americans are still buying up homes at a record pace.
According to Mortgage News Daily, "Consumer job confidence and favorable mortgage rate expectations lifted the HPSI to a new survey high in July, despite ongoing housing supply and affordability challenges," said Doug Duncan, Senior Vice President and Chief Economist. "Consumers appear to have shaken off a winter slump in sentiment amid strong income gains. Therefore, sentiment is positioned to take advantage of any supply that comes to market, particularly in the affordable category. However, recent financial market events following when the survey data were collected could weigh on consumer views looking ahead."
If you're curious about seeing how much home you can afford then give Mortgage Broker Mike a call at 585-749-8848
and, as Warren Buffet once said, "Never pay another man's mortgage."