Determining when to purchase a house is usually a difficult task. You are probably debating if prices will improve or worsen and if it is really a good time to buy. Unfortunately, nobody can tell the future, but you can make an educated decision based on several factors.
The following are a few benefits of purchasing Florida real estate in 2015.
Benefits Of Purchasing Florida Real Estate In 2015
Low Mortgage Rates
Home loan interest rates are historically low. Most people are obtaining fixed rates below four percent. Home loan rates will have a significant affect on monthly mortgage payments, so it definitely should be considered. By getting a lower interest rate, you spend less on a home or are able to afford a higher priced house. Interest rates will not stay low for very long, so you should act quickly to lock in a low rate.
Real Estate Prices Are Rising
In case you were not sure, the market bottom has come and gone in most major markets. In fact, real estate values are back on the rise in many markets. What does this mean for home buyers? This increases the ability to earn equity in a shorter period of time. Buying now allows you to benefit from prices while they are still fairly low with the potential for further growth.
Mortgage Insurance Premiums Have Dropped
There are some beneficial news for FHA borrowers. The monthly PMI rate for mortgages insured by FHA is being dropped by half a percent. On a loan amount of $100,000, the mortgage insurance was approximately $135/mo. With the reduced rate, it reduces to $85per month. On a $400,000 loan, it changes from $450/mo to $283.33/mo,..a $167 difference.
Renting Is More Costly Than Buying
Buying has many advantages over renting. Property owners can usually use mortgage interest, property taxes, and other costs on their tax return. This may make a big difference based on your income bracket and amount of deductions. Additionally, you can build equity sometimes immediately or with time, so it is truly an investment rather than only an expense. If you weigh the monthly cost and the other factors, buying is usually the clear choice.
Home Purchase Assistance for the Florida Area
All regions are unique. Even neighboring towns could have completely distinct home prices. It is essential that you use an experienced and local real estate professional to help you. He/she might also identify other benefits of purchasing Florida real estate in 2015. Contact Sonny Solomon at The Keyes Company (561-247-1047, sonny@sonnysolomon.com) for additional statistics on the real estate home prices and assistance with your property search.
