4 great reasons to buy a home right now

4 great reasons to buy a home right now


To purchase a home is a big step in the life of most of the people. So you might be wondering when it is a good moment to do it.  Of course there is no a single moment for everybody. However, if you are renting and have a job and things are going well, think about the possibility to become a homeowner.  This year (2016) there are some facts that benefit homebuyers, which are great reasons to buy a home right now:

  1. Rental rates are rising

Because there is a lack of inventory, which means fewer homes are available for sale, rental rates are continuing to rise.  In fact, in most of the cases it is more expensive to rent a house rather than to buy it.  The reason: low interest rates means affordable mortgages.

  1. Interest rates are still at record lows

A 30-year fixed-rate home loan is around 4% nowadays.  According to Trading Economics, interest rate in the United States averaged 5.88 percent from 1971 until 2016. The highest interest rate was 20% on March of 1980.  The lowest was 0.25% in December of 2008.  So 4% for a home loan is a good number, isn´t it? Low interest rates make home buying more affordable. And something else: monthly rent is comparable to that of a monthly mortgage payment in most metropolitan cities.

  1. You don´t need a large down payment

Down payment is probably one of the biggest obstacles when you want to buy a house. If you have been able to save 3.5% of your desired homes value, there may be programs that will help you qualify.  If you do not have savings or you have very little money in your bank account, there are some programs to help home buyers.  Some Government agencies may offer Down Payment assistance to help you buy a home. Because of the needed requirements to qualify for one of those programs, we encourage you to talk with one of our lenders to see if you qualify or for more information.   

  1. You’ll reap major tax breaks

Tax laws benefit homeowners. It means that when you buy a home, unless your home loan is more than one million dollars, you can get a tax break. All your monthly interest can be deducted from your tax report.  That´s why some people who are struggling to manage their debts, put them all into the home loan. In this way they get tax deductions and lower interest rates.

If you are thinking of buying a house and would like to connect with one of our partner lenders, submit your information via the Financing or Pre-approval forms.  You may also get connected with our partner lenders by calling 1-866-200-5250.

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