There are so many questions when figuring out when is the perfect time to buy a home.  The short answer is: The best time to buy is when you are personally ready. 

Obviously the goal is to get you into a home for the lowest price and lowest interest rate possible. The problem with this is:  When interest rates go down home prices go up.  When interest rates go up home prices stay the same or decrease.  In the past couple of years in the state of Utah even though interest rates went from 2.5%-8% we did not see a huge decrease in home prices.  Instead, after a couple of years of home prices climbing, we saw prices stabilize.  

The benefit of buying when interest rates are high:
     * Fewer buyers means that buyers can ask for a decrease in purchase price 
         and usually will get the seller to pay part or all of their closing costs. 
     * Inventory is higher so competition is lower and there are lots of options to           choose from.
     * You can refinance your mortgage when interest rates go down.

Negatives of buying when interest rates are high:
     * Monthly payment is higher
     * Paying more money in interest does not = paying home off quicker
     *You qualify for less money when applying for a mortgage.

Benefits of buying when interest rates are low:
     * Monthly payment is lower
     * Qualify for more money when applying for a mortgage.  

Negatives of buying when interest rates are low:
     *  More competition drives prices higher    
     *  Multiple offers on homes make it more difficult to go under contract
     *  Will have to pay over list price and pay closing costs

As you can see there are reasons to wait for both options, but in the end it is a personal decision best made with good professionals who can show you the benefits of waiting or acting now.  

I had a young family I worked with in 2022 who we tirelessly worked to get them into a home.  Interest rates were super low but with that inventory was super low.  Every property had multiple offers and prices continued to rise.  We would go see every property that matched their criteria and put in an offer immediately.  We finally got them into a beautiful home.  Even though prices decreased a little in their area when rates went up, they were paying $1,000 less than they would if they had waited a year to buy. 

Let's sit down together in person or on a phone call and put together your personal plan for buying.  Even if its a few months or a few years out, a plan will prepare you so you can accomplish that goal of becoming a home owner.



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