Is it Better to Buy Now or Wait?

Hello,

I hope you survived the snow last Friday without any broken bones tubing down the neighbor’s yard!

I wanted to give you a quick update on two important topics:

1. The Cost of Waiting: Many of my clients who are considering buying a home believe it might be better to wait until rates come down. But they need to look at the whole picture and not just rates.
2. Rate Update: Unfortunately, the recent jobs report had a negative impact on mortgage rates.

What Buyers Are Telling Me

After speaking with many of my realtor partners and clients this year, I’ve noticed a common theme:

• Mortgage Rates and
• Inventory are the top two concerns holding buyers back.

While lower rates would certainly help with monthly payments, most people don’t realize how rising home values and potential bidding wars could offset those savings.

To help illustrate this, I worked through an exercise showing what happens if:

• Rates drop by 1%, but
• Home values increase by 4.5%.

The results? Many of my clients were surprised to see how home appreciation impacted the savings.

Want to See the Numbers for Yourself?

You have two easy options:

• Click here to download the PDF with all the detailed examples.
• Or, watch this quick video where I break it all down step by step.

Mortgage Rate Update

The recent jobs report showed the economy is stronger than expected, with 256,000 jobs added instead of the anticipated 160,000.

What does this mean? The Fed is unlikely to cut rates aggressively this year, so mortgage rates may stay elevated for the foreseeable future.

As of today:

• 30-year fixed rates (non-jumbo): 6.875% to 7.125%
• Jumbo loans (above $806k): 6.625% (Interesting, I know)
• 10-year treasury: 4.77% (4.1% this time a year ago)

If you’d like me to create one of these reports for your client, please send me an email, and we’ll find a time to connect.

Best regards,

KEVIN DWYER

Vice President, Senior Loan Officer

NMLS #161365

(404) 403-5795 phone

[email protected]