Spring will be here before long, bringing warmer weather, flowers, and additional buyers to the Spring Real Estate Market. Are you waiting for the warmer weather too? Maybe now is a better time to buy. There is less competition with other buyers. Are you a buyer who is thinking I'll wait for the market to "bottom out"so I can get the "best price" before I make a purchase? This may not make for a good financial decision. Is it really about the price or is it about the interest rate? The answer may surprise you.
If you buy a house at $299,000 with 5% down and a 30 yr fixed rate at 4.875% you pay in principal and interest $541,159.20 over the life of the loan. If you wait for prices to "bottom out” to buy at, say, $281,000 with 5 % down and a 30 yr fixed rate mortgage, however the rates have crept up to 5.875, you pay in principal and interest $568,479.60 over the life of the loan, ultimately costing you $27,320.40 (increasing your payments by approx $80 a month) more in total payments!
As you can see it is about the interest rate as much as the purchase price.
Give me a call at 978-947-3693, send me an e mail at Cathy@AdvantageRE.com, or visit me on the web at www.CathyLomasney.com so we can get you started on the road to your new home.
Let's go Shopping!
Have a great day!
While every effort is made for accuracy, these examples are subject to error and omissions.
Tags:
Burlington , Burlington Real Estate , Billerica , Billerica Real EState , Woburn , Woburn Real Estate , Tewksbury , Tewksbury Real Estate , Wilmington , Wilmington Real Estate , Boston Area , North Shore Real Estate , Merrimack Valley Real Estate
Cathy Lomasney
