Being bounded at home and reading the chaos/commotion in the market place can be very stressful. Many of us have lost major investments and retirement funds in the past few weeks. Consumer confidence and unemployment rates are at its worst. Definitely a lot of anxiety and uncertainties in the Fairfax and Loudoun county real estate market.
Northern Virginia or across the country home buyers are confused about buying or hold off buying a home.
Here are 3 different scenarios that may help you to make a decision on whether to buy a home now or wait until the market improves or changes happen.
- With the rising uncertainty if the home prices drop similar to the 2008 financial crises.
- The interest rates increased due to tighter mortgage guidelines (we have already seen jumbo and FHA revise their guidelines in March 2020).
- The below breakdown is assuming you are putting a 20% downpayment on a conventional loan.
If the above stands true and you’re buying a home with long term ownership you may buy whenever you are ready to make a commitment!
Even though macroeconomy may influence the economic landscape and impacts on the majority of the industries. The recovery of the real estate market will be driven by our local economy. In the 2008 financial crisis, Northern Virginia did recovery faster compared to other areas in the country.