Today’s Practical Planning Tip we will discuss how in 2024 investors should Avoid waiting for more favorable market conditions to purchase a home: Mortgage rates are high and real estate is expensive. This trend may continue for a while or the landscape for first time home purchasers may become more attractive. No one knows. The important thing to keep in mind when buying a home is that the current market conditions should not be the ultimate driver for one’s home purchase.
The right time to buy a home is:
1) When you are in the market to buy a home. Don’t buy a home if you don’t need more space, don’t know where you want to plant your roots, or just because your friends are buying.
2) When you find a community in which you want to live. Some would argue that the community you choose to live in is even more important than the actual house you buy.
3) When you find a house that satisfies you. Don’t try to find your “dream home.” This is not Hollywood. This is real life. Be practical and realize that no home is perfect, even one that you customize yourself.
4) When you can afford the house. Whether home prices and mortgages are high or not shouldn’t concern you as much as whether you have the down payment and the ongoing cash flow to buy the house you are satisfied with in current market conditions. If you don’t have the finances to make this happen, then you are not in the market to buy a home in the first place. If you meet all these four criteria, then buy a home and don’t wait for more favorable conditions…they may never come!