The Best Time to Sell and Buy a Home

Let's cut to the chase by reading some good news.?

For buyers, It's a good time to purchase property in New York City as interest rates remain at record lows. According to The Mortgage Reports, rates will remain stable (at below 3%) throughout the month of September. This puts buyers in a good position to afford more houses.

In addition to that, competition is becoming less intense than in previous months as this year's seller's market is showing signs of cooling down.?

In an article on Fortune.com,? available inventory increased moderately at 5.7% last August following massive gains in June and July at 8.8% and 10.4%, respectively.?

And that's not all. With forbearance programs about to expire at the end of September, struggling homeowners may choose to get their homes listed.??

Sellers won't have to fret since they can still leverage the current low-supply environment. Despite forecasted gains, housing inventory will still be lower compared to pre-pandemic levels. Technically, Q4 of 2021 will still see a market that favors sellers.?

Taking all this in, it's still a good time to set your real estate goals into motion. There is no better time to sell, buy, and invest than now before inflation eats into everyone's pockets!

A damper to the real estate market??

For experts, inflation is considered normal. As product costs rise, so will the price of goods. In effect, currency values decrease and you have fewer goods to buy with your money. It's basic high school economics.?

It's only when the inflation rate starts to rise dramatically that it starts to be a matter of concern. MarketWatch says the rate has reached an unprecedented 30-year high while Bloomberg notes that supply constraints are pushing inflation forecasts higher.?

So, what does rapid inflation mean for the housing market? Obviously, if you are buying a home in a high inflation environment, your current budget may not be enough to cover the rising price of your ideal home. In short, you will need to augment your finances in order to fuel your purchase.??

And while sellers can experience price appreciation, they should also expect higher maintenance costs and taxes as inflation factors in. Refinancing will also become less affordable as the Fed, in response to price surges, is expected to raise rates by 2022.?

That's a long way off, but should you wait until then to refinance your existing home or sell it and move up?

The time is definitely ripe

On my part, I am following these developments as they unfold and all I can say is that there's an opportunity to be had in this current market.?

Whether you are selling, buying, or investing, the numbers remain favorable, but they won’t last forever. So, if you are poised to leverage your home, you might as well do so before inflation and interest rate hikes will put a damper on your plans.?

If you need help with everything real estate in New York City, hit me up and I’ll talk about how I can give you the best deal in this market!

Give me a call at 917-627-5677 or send an email to [email protected]. I could also suggest a few cozy cafes around the neighborhood where we can chat.

Talk soon,

Eli?