Are You in Your Forever Home?

I sometimes ask this question of clients to give, "someday we'd like to move..." some real thought.  There certainly are times in life when moving just isn't in the cards, but it's also true that, like having a baby, it's almost never an ideal time.  Regardless of what's going on in people's personal lives, the market keeps moving and changing, and it's important to really think through the scenarios.

If you have a home to sell, the current low inventory will offer you an opportunity to get the price you want.  Homes that are well-priced and even moderately updated are going under contract within days.  And while the lack of inventory can affect your replacement home search, interest rates are still historically low and offer maximum purchasing power.  The chart below shows how much your options can be affected by waiting until next year to make a move:

	Purchase Price (with 20% down)	30-Year Fixed Rate	Monthly Principal and Interest	Monthly Cost to Wait	Cost Over Life of Loan
Purchase Now	$450,000	4.5% (4.523% APR)	$1,824
Wait (rates rise)	$450,000	5.125% (5.274% APR)	$1,988	$164/mo	$59,040

Or, looked at another way, if you wanted to keep your monthly payment the same while the interest rate rises, your purchase price would be reduced to only $418,758.  That $30,000 jump can mean significant sacrifices to your wish-list.  It's also going to reduce the buyer pool for the house you are trying to sell.

 

Staufer Team has a great reputation in the Louisville/Superior area, and often our agents have clients who are waiting for the right opportunity before they become serious about their move.  There are several homeowners in Louisville who would sell their home if only they could find another replacement nearby.  If this describes you, please let me know.  Our team may be able to match you up with another seller or buyer just waiting for you!

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I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

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