Why it's Time to Buy

It's Summer...and it's HOT. Who can remember a stretch like this? Last summer felt cold...but not this year. Maybe the temps will warm up the Economy...and the housing market. I was podering the heat and our industry and was thinking...it is a good time to buy or refinance. And here is why:

1) Rates are absolutely at the all time lows. Those nwho have waited this out are going to benefit. The news is bringing up the fact that the FED cannot keep short term rates low (these are not mortgage rates). But the truth is...when the FED says they are going to start bumping rates...then the Bond traders of the world are going to start moving their money away from Bonds and into more risk based assets. This will cause our mortgage rates to increase. So, if you are on the fence to buy...want to refi...it's now. A 100k home today at 4.375% will costs you $60 more per month if rates go up 1%. Rates were just there a few months ago. They will go back and surpass this level.

2) If you buy existing...it's summer. The best time to move is in the summer. Who wants to move with the weather poor. If you are buying new...you can build out in time to close before the end of the year. Many builders will incentivize you to do this!

3) We've noticed a stabilization to pricing here in Indy. I am not seeing the major drops to pricing to get a sale done. Sellers are starting to hold firm. Builders are trying to hold their margins more than just making a sale. The good deals are now...they won't last.

4) Permits in Indy have hit their low point and are going up. More buyers are looking at new construction. As sales increase...it becomes more of a sellers market. That means prices go up.

Get out there...find that first home, or upgrade to your next. Or, lower that payment on your current home---or even lower the term from 30 to 15 years. I bet you in 6 months you wish you had.

Ryan