Now may still be a great time to buy a house

• Author: Bryan Miller
• Posted: 2024-10-19

Are higher interest rates a good time to buy a house? The answer to that question depends on your own situation. As long as you have enough money to make a down payment and a buffer for unexpected events, now is a good time to buy a house. However, if rates are still high, you may want to think twice before jumping in. As with any major purchase, research the housing market thoroughly.

The housing market is far from tranquil in the summertime. Rising mortgage interest rates, bidding wars, and low inventory are just some of the problems affecting today's home buyers. According to a survey conducted by Zillow, nearly half of respondents were in tears before buying a home. Meanwhile, a recent Gallup survey indicates that 70 percent of people think that the current situation is a bad time to buy a home.

A major question in the minds of home buyers is whether it's a good time to buy a home. This is an important decision because home buying is an extended commitment and higher rates will increase your monthly expenses. Also, consider the size of your down payment and whether you can afford it. If the cost is out of your reach, you might want to consider renting for a while until the market recovers. But if you think you'll lose your job soon, don't rush into a home purchase.

Despite rising rates, some Americans still believe the housing market is a good time to buy a house. However, a recent Gallup poll showed that only 25 percent of young Americans think it's a good time to buy a home. In addition, the study found that young adults are even pessimistic when it comes to the affordability of housing. This may make home ownership a little more difficult for younger generations.

Despite the rising interest rates, it's worth noting that prices have increased dramatically in the past few years. While many buyers may think this is a good time to buy a house, others will be disappointed. In this case, it may be better to wait and see if the market conditions are right for them. The best way to avoid the risk of buying a house at the lowest possible price is to get preapproved for your loan before you start looking.

Home affordability has reached its lowest point since the housing pandemic hit the country, and the number of people who buy a house is likely to decrease as borrowing becomes more expensive. At the same time, rent prices are rising rapidly as well. While the price of housing is still higher, the supply of available houses has been historically low. And even the spring market hasn't helped stoke the inventory.

In June, the median price of an existing home was $416,000, a 13.4% increase from a year earlier. With prices so high, many buyers are willing to pay more than they originally wanted. Despite the increasing rates, the housing market is still in a very tight supply. The inventory of available homes in June was only 1.26 million units, up 2.4% from last year. That's less than a three-month supply, which is below the normal requirement of four months.