Why You Shouldn't Wait for Lower Prices

By Jason Giulieri

Jason, originally from the sunny Australian coast has lived in New York for over a decade. He has more than 20 years experience as a real estate investor with expertise in residential rentals; single family and multi-family renovations; and sales. Jason has extertise serving a varied clientele including first time home buyers, those up or downsizing and investors seeking to grow their portfolio.

In the world of real estate, it’s common for prospective buyers to wonder whether they should wait for interest rates or home prices to drop before taking the plunge into homeownership. While it’s a natural consideration, there are several compelling reasons why waiting might not be the best strategy for you.

1. All real estate is local. National news headlines can be intimidating, but the real estate market’s fundamental truth is that it’s highly localized. In regions like the capital area, including New York State, stable employment sectors like government, education, healthcare, and industries like Regeneron and Global Foundries continue to make it an attractive place to live and invest in real estate.

2. Prices are on the rise. Despite the increase in interest rates, average home prices have actually seen a 5% rise compared to the previous year. As interest rates decrease in the future, it’s likely to attract more buyers to the market, increasing competition and potentially leading to multiple offers and higher prices.

3. Potential appreciation and tax benefits. Historically, home prices tend to appreciate over time, which means that by purchasing a home now, you have the opportunity to build equity and potentially benefit from future price increases. Moreover, homeownership offers tax benefits, allowing you to deduct part of your mortgage payment and property taxes, which isn’t possible with renting.

4. Mortgage flexibility. Should interest rates drop in the future, you can explore refinancing options to lower your monthly mortgage payment. This strategy, often described as “marry the house, date the rate,” can provide substantial savings over the life of your loan. Additionally, there are various loan programs available that may offer lower interest rates based on your qualifications.

While waiting for favorable market conditions might seem prudent, the real estate landscape is dynamic and can’t always be timed perfectly. By acting now, you can benefit from potential appreciation, tax advantages, and mortgage flexibility. To explore your unique situation and make an informed decision, don’t hesitate to call or email us. We can guide you through the process and help you find a home that suits your needs and budget. So, why wait? Let’s chat about your homeownership goals today.