Why it's a great time to buy despite rising prices!

By
Real Estate Agent with Joy Daniels Real Estate Group, Ltd.
Friends and Clients —
 
It's an undeniable fact:
 
The last few years have been tough for buyers looking for a new home.
 
One big reason for this is the shortage of homes on the market.
 
Due to this shortage, home prices rose dramatically over the past decade — and they continue to rise. Nationally, median sales prices surged 53.5% between early 2012 and summer 2019.
 
As a result, the homeownership rate has dropped. In 2019, the homeownership rate was just 64.8%, about 2% lower than at the start of the decade, and more than 4% below pre-crisis levels.
 
However, here's the strange thing:
 
Despite the increased prices, now is a better time to buy a home than 10 years ago. That's according to a new report by online lending marketplace LendingTree.
 
It mostly comes down to the present very low mortgage rates. The current 30-year fixed mortgage rate is just 3.49%, almost 2% lower than 10 years ago.
 
A drop of a couple of percentage points might not sound like much, but it can easily mean hundreds of dollars a year and tens of thousands saved over the course of the loan.
 
That's why, as of 2019, homeowners spent just 4.1% of their annual household income on their mortgage payments. That's the lowest percentage since the start of the decade and the lowest percentage on record.
 
What does all this mean for you specifically?
 
Well, there are two reasons why many homebuyers have had a hard time taking advantage of the current low mortgage rates.
 
I mentioned the first reason already. It's simply the shortage of good homes on the market.
 
Fortunately, several beautiful homes recently came on the Central Pennsylvania market. They are definitely worth seeing. If you want to check them out, view this complete listing:
 
 
What about the second reason keeping buyers from profiting in the current market?
 
That issue is stricter lending regulation. In other words, it's become harder to get approved for a mortgage.
 
If you are interested in buying a home but you're worried about your ability to get approved for a low-rate mortgage, then I might be able to help
 
Specifically, I’m thinking of an expert mortgage lender I know and trust. They can work with you to make sure you get approved for a loan and get the best possible rate.
 
If you'd like me to put you in touch with the mortgage lender I have in mind, simply give me a call at 717-695-3177. After all, I’m here to help. 
 
Have a great day,
 
Joy Daniels
The Joy Daniels Real Estate Group
Posted by

Joy

Joy Daniels, GRI, ABR, CSP, e-PRO
JOY DANIELS REAL ESTATE GROUP, LTD
2793 Old Post Road, Suite 200
Harrisburg, PA  17110

(717) 695-3177  office - Call TODAY and let me help you find your dream home!

www.joydaniels.com

Joy@JoyDaniels.com - Email TODAY and let me help you find your dream home!

What is your home worth?  Find out at MLS Market Snapshot

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Topic:
Home Buying
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Pennsylvania Dauphin County
Groups:
1st Time Buyers
Advice for Buyers

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Rainmaker
3,348,692
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello Joy and you are right buy now, interest rates are so low now and home prices will go up so don't way!

 

Mar 10, 2020 12:37 PM #1
Rainmaker
3,551,619
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Joy - your local Harrisburg area real estate knowledge will be very important to prospective property buyers as they navigate the process with your expertise.  

Mar 10, 2020 01:10 PM #2
Rainmaker
922,039
Joy Daniels
Joy Daniels Real Estate Group, Ltd. - Harrisburg, PA

Hi Will Hamm always good to hear from you!  We have low interest rates and low inventory. . . guess that's what you would call a Seller Market!  Wish we had more Sellers ready to sell!! :)  Much success to you in 2020!

Thank you Michael Jacobs 

Mar 10, 2020 03:39 PM #3
Rainmaker
3,288,051
Richard Weeks
Dallas, TX
REALTOR®, Broker

Great information, thanks for sharing.  I hope you have a great week.

Mar 11, 2020 03:04 AM #4
Rainmaker
3,372,470
Nina Hollander
Coldwell Banker Realty - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

Hi Joy... thank heavens for the low interest rates... they are helping mitigate price increases and helping people buy home who otherwise would be priced out of the market.

Mar 11, 2020 04:48 AM #5
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