Waiting To Buy A Home Could Cost You

It’s a crazy market out there!  With the surge in demand and lack of inventory finding the right home can be frustrating and take a lot of patients.  It can be easy for home buyers to throw in the towel and put off buying a home with the hopes things will get easier.  Don’t assume waiting a few years to buy will save you money.  Here is a look at how the cost of waiting can add up when mortgage rates and home prices rise.

Purchase Price Mortgage Interest Rate Monthly Mortgage Payment Annual Home Appreciation Projection
August 2021 $ 150,000 3.25% $620
August 2022 $ 160,776 3.625% $697 7.18%
August 2023 $ 165,991 3.875% $742 10.66%
August 2024 $ 174,068 4.375% $826 16.05%

*Assumptions 5% down, conventional financing, forecast based on MBA Mortgage Rate and MBS Highway Home Value Projections for Kalamazoo County, MI

 

Purchase Price Mortgage Interest Rate Monthly Mortgage Payment Annual Home Appreciation Projection
August 2021 $ 250,000 3.25% $1,034
August 2022 $ 269.693 3.625% $1,168 7.88%
August 2023 $ 278,745 3.875% $1,245 11.5%
August 2024 $ 291,538 4.375% $1,383 16.62%

*Assumptions 5% down, conventional financing, forecast based on MBA Mortgage Rate and MBS Highway Home Value Projections for Kalamazoo County, MI

 

Purchase Price Mortgage Interest Rate Monthly Mortgage Payment Annual Home Appreciation Projection
August 2021 $ 350,000 3.25% $1,447
August 2022 $ 377,570 3.625% $1,636 7.88%
August 2023 $ 390,243 3.875% $1,743 11.50%
August 2024 $ 408,154 4.375% $1,936 16.62%

*Assumptions 5% down, conventional financing, forecast based on MBA Mortgage Rate and MBS Highway Home Value Projections for Kalamazoo County, MI
In summary, if mortgage rates and home prices rise as projected it can be rather costly to put off purchasing a home.  Sure there are many life events and other reason to hold off on purchasing.  But from a pure numbers perspective the time to buy is now.  The place to start the process is right here with the online mortgage application.

**Down payment and terms shown are for informational purposes only and are not intended as an advertisement or a commitment to lend. Actual rate, annual percentage (APR) and other figures may vary. Please contact us for an exact quote and for more information on fees and terms. Not all borrowers will qualify. Equal Housing Lender. NMLS #110139. A division of Amerifirst Financial Corporation. amerifirst.com

 

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November Lunch and Learn / Webinar: Low Down Payment Options For Home Buyers

Money, Money, Money, Money

One of the biggest myths out there is that you need a bunch of money to buy a house.  That’s simply not true.  There are a number of No and Low down payment options for home buyers.  On top of that you don’t have to be a first time home buyer to access many of those programs.    During our next lunch and learn we will cover all the different options out there for buyers looking to minimize their down payment.  Over the last couple years its been harder to get a lot of these types of offers accepted.  However, with the market going back to a much more “normal” state it’s not nearly as hard as it was just a few short months ago.  This is the perfect time for Realtors to reconnect with their past customers and get back out there looking.   Come check out this lunch and learn and get a refresh course on low down payment options for buyers!

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Here is a list of some of the things we will cover during the event:

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