It's February And You Are Thinking of Buying a Home. 5 Reasons to Begin Your Home Search Now
It's cold outside! Believe it or not, it is still a wonderful time to buy a home.
*Interest rates are still at near historic lows and the *inventory of homes is plentiful. More homes will come on the market in the next two months as sellers who have been waiting to get past the holiday season are ready to offer their home for sale. This trend will continue as we move towards Spring and the warmer Summer months.
*There are less buyers in the market now than there will be in the Spring, the traditionally most active time of the year. So there is less competition for the home you may want. You will have the opportunity to negotiate more aggressively with a Seller that is motivated now.
*Winter is an excellent time to check on the energy efficiency of homes. Feel the areas around doors and windows to see if air flow is noticeable. Does the home seem well constructed? Look at the roof if there is snow to see if the snow is melting evenly. An area that is melting much faster than others may indicate a lack of insulation. Heat is escaping in that area.
*Homes are more completely tested during weather extremes. An inspection on the home you choose will be even more beneficial in revealing areas that need improvement. A clause can be written in your purchase agreement to allow you time to return to check the roof when weather permits.
*Interest rates are still at historic lows. A 30 year fixed rate is currently around 5.25% without adding points, or at 5% with 2 points. The cost of a point is 1% of the loan amount. By buying now, you may save significantly on your monthly payment. Even an extra $200 savings of per month equals $2400/year and $72,000 over 30 years, the life of the loan.