Should I Build a Home in 2023?

If you’ve been weighing a move and have been keeping your finger on the pulse of mortgage rates, you may be familiar with the term “changing market.” High interest rates, economic conditions, and other factors have undoubtedly changed the market. Still, 2023 is a great time to build a home – if you’re ready. Here’s why:

Property is Appreciating

Home prices are on the rise. Despite challenging market conditions, property is appreciating. That might not sound like a great thing for prospective home buyers, but the last thing anyone wants is to be underwater after a sale is complete. You can rest easy with your decision to buy a home knowing that you’ll start to build equity right away.

Less Competition for Buyers

During the pandemic, we saw bidding wars for even the most standard of homes. There’s nothing quite as frustrating as being involved in a multiple offer situation or getting outbid constantly. Things are changing, and the market has cooled off quite a bit. That means less competition for buyers, allowing for more leverage during negotiation. If you’re searching for a great deal on a home, now is the time to act.

Rent Prices are Soaring

While it’s true that mortgage rates are increasing, rent prices are also on the rise. Spikes in rental rates far outweigh the increases we’ve seen in the mortgage market. This makes renting overall more experience. If you’re currently renting and weighing the transition to becoming a homeowner, you’ll likely save money in both the short and long-term by taking the plunge.

Reasonable Mortgage Rates are Possible

The recent rise in mortgage rates seem significant, especially when compared to the multiple years of record-low rates that were available pre-pandemic. Still, 30-year fixed rates are at normal levels. Will you pay slightly more than you might have a few years ago? Yes – but there should be many other factors that play into your decision to purchase a home. Do some research and set your budget. So long as you stick to that, you’re certain to find a quality property, even with a slightly higher than average mortgage rate.

Make 2023 the Year You Become a Homeowner

If you’ve been weighing the pros and cons of homeownership, make 2023 the year you take the plunge. The Absolute Construction team can help you build the home of your dreams! Reach out today to discuss your options.