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Buy or Sell? Timing is Everything

If you’re trying to decide whether and when to sell your house, current trends indicate that this winter might prove prudent. It’s a Seller’s market, and conditions (low supply, high demand) are very favorable for those of you looking for a real estate change. When supply is low, multiple offers are likely and your house is apt to sell very, very quickly. 

But if you’re a Buyer, don’t let this discourage you. The good news for Buyers is that mortgage rates are historically low; purchasing before rates climb higher means you can make your move and lock in a low mortgage rate on your next home. This helps you get more home for your money and it helps to keep payments lower. Additionally, the Federal Housing Finance Agency (FHFA), which handles mortgages by Freddie Mac, Fannie Mae, and the Federal Housing Administration, is raising its loan limit for prospective purchasers in 2022, meaning qualifying standards are much less stringent and less expensive. More homes now qualify for a conforming loan (a mortgage that meets the dollar limits set by the FHFA and the funding criteria of Freddie Mac and Fannie Mae.) For borrowers with excellent credit, conforming loans are advantageous due to their low interest rates.

For those of you waiting out this current real estate market, it’s likely that the longer you hold off on buying, the more it will cost down the road. As mortgage rates rise, even modestly, it will impact your monthly payment when you purchase your next home. Waiting just a few months to purchase could mean a long-term financial impact.

The bottom line is that even though the current market can seem daunting, this is an opportune time for both Sellers and Buyers. If you’re thinking of making a move and would like more detailed information on the current benefits of buying or selling, please contact us. Our Team is well-versed and always up to date on current trends and regulations. It would be our pleasure to help you navigate your next move.  

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