Is Now the Best Time to Buy a Home?
June is Home Ownership Month, and many Americans may be contemplating if now is the best time to buy a home. Homeownership can provide benefits to families, neighborhoods, and communities across America. But this year, with our current housing market landscape, Home Ownership Month is a little different. Here’s why:
Most Americans still want their own home. Why are many Americans still allured by the idea of having their own home? Homeownership is still very much thought of as a part of the American dream. Nearly two-thirds of millennials and 45% of Gen Z say a desire to be a homeowner is the main reason they buy a home.
The benefit of building equity via owning a home as opposed to helping someone else financially is very much still real as well. In the United States, many people lean toward homeownership as it is a part of our cultural mindset and economy.
Are we in a housing bubble? It is increasingly evident that COVID-19 and working from home is driving demand for homes and increasing prices across the U.S.
There is increasing concern from consumers that there is a housing bubble and anxiety about when the bubble will burst. Google recently reported that the search “When is the housing market going to crash?” had spiked 2,450% in the past month. Also, more than half of this year's first-time homebuyers expect some competition, while one in five believe they're in for a lot of competition.
Don’t panic about buying or a housing bubble. Experts say we shouldn’t panic as not all bubbles look like the one from 2008. So, while the housing market has low inventory, high demand, and a risk-averse lending environment, extreme spikes in home prices could result in some prices returning to normal soon.
Let us know if you have questions about saving for a down payment, how much house you can afford, or the difference between a 30-year and 15-year mortgage. We can help you create a personalized strategy around your full financial picture to focus on the things that matter to you. To get a conversation started, contact our office today or book an appointment online.
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