I just listened to someone I’ve trusted for almost 20 years, immersed in the real estate business, and wanted to share 3 things with you. Before that, let me tell you why I trust him. His name is Brian Buffini and he’s been my coach for almost the whole time I’ve been in real estate. He correctly predicted the collapse of 2008, the inventory shortage that followed when no one saw it coming, and even the last couple of years of unprecedented boom for sellers and the struggles buyers have had finding a home.
I just listened to the mid-year predictions he had and it gave me hope. There are three things I want to share.
The market is better, likely bottomed out, and is on the way up but at a slower rate. This means that the price of houses will continue to go up but it will be a bit lower appreciation than it has been in the past. The effect the interest rates had when they went up has mostly passed so we ought to see more activity from buyers. I’ve seen information from the likes of Dave Ramsey that agree, the price of houses is on the way up so the best time to buy is now so you can ride the wave up.
The interest rates have spiked but you’ll likely see them come down to the mid-4 % range in about 18 months or so. This means that you can refinance at a lower rate, possibly get rid of PMI on most mortgages and enjoy a lower house payment. I can help with some great lenders and can point you in the right direction when you’re ready. Bottom line, don’t wait to purchase if you want lower interest rates but take advantage of them when they happen.
The inventory problem that has plagued buyers is easing but is likely to be with us for a while. We want to see a level of inventory that is double what it is now. That will take a while but we have some options to make your offers more attractive in a competitive market. I have some lenders that will buy your new house for cash and you can do the financing after you move in. This is really an advantage when you are competing for a limited inventory.
That’s all for now but if you want to go deeper on anything, call me. I’m here to help and would love to grab a coffee or lunch and talk.
Thanks for listening,
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