6 GREAT REASONS TO BUY A HOME RIGHT NOW

6 GREAT REASONS TO BUY A HOME RIGHT NOW

But there are even better reasons to buy a home right now. Here are just a few:More jobs are availableThe Labor Department announced that the jobless rate is now below six percent. Consider how far the job market has come since January 2010 when unemployment was 9.7 percent.Houses hedge against inflationThe Consumer Price for All Urban Consumers is up 1.7% from August 2013 to August 2014, excluding volatile food and gas prices. The food index has risen 2.7 percent over the span, while the energy index has increased 0.4 percent. This is the first month that the index hasn't risen since 2010.Why is that good for homeowners? Even in a tepid inflationary environment, when prices rise, a major asset such as a home, purchased at a fixed cost, becomes more valuable. Typically, in an inflationary environment, housing prices rise.Housing price gains are slowingThe median existing-home price in August was $219,800, which is 4.8 percent higher than home prices in August 2013. This marks the 30th consecutive month of year-over-year price gains. In 2013, home prices rose in the double digits.Mortgage interest rates are still lowAccording to Freddie Mac's archives, the lowest that mortgage interest rates have been in modern history (since 1971) was in November and December 2012 at 3.35 percent with 0.7 points for a benchmark 30-year, fixed-rate loan, and that was back in 2012 before the housing recovery began in earnest. The most recent Freddie Mac survey found national averages at 4.16 percent with .05 percent points in September 2014.To take advantage of near-record low mortgage interest rates and home prices undervalued by as much as three percent nationwide, now is a great time to buy a home.You've already missed the bottom of the market, but that doesn't mean there aren't great buys to be had out there. Your community may not have appreciated as quickly as some of the big metro areas have recently. Your boom may yet come.To begin with, the economy is growing. From information gathered on or before August 22, 2014, the Federal Reserve's "Beige Book" report found economic activity is up in all eight national districts, including consumer spending, freight loads for deliveries of goods, and more.

Author: Christy Peterson
Phone: 774-287-5322
Dated: November 3rd 2014
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