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.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.