Hi, this is your Hendersonville Realtor and I wanted to ask you a question. Is it the right time to buy?
Let me tell you. Prices are not coming down, but the interest rate has come down quite a bit. So right now may be a good time to buy for you.
Last fall we were dat 7.7% interest rate but now it is down in the mid to low 6%’s depending on which type of loan you get.
This doesn’t always answer all of your questions, but here are some questions you can ask yourself to see if you are ready personally. Just because interest rates are coming down doesn’t mean it is the right time for you.
Ok so let’s ask some personal questions.
How is your credit?
That is a big one because it is going to affect your payments. It is going to give you a credit score that will determine your payments. You want your credit score to be as high as possible to get your payments down. It would be good to get it at 760 or above but depends on the type of loan you will get.
The next question is do you have a downpayment saved?
Having 20% is what you can strive for but not everyone can do this. Different types of loans require different amounts.
Do you have closing costs saved as well?
You will need maybe $4000 to $6000, depending on the price of the home you buy, but it could be more of less, again depending on the price of the home.
Your downpayment and closing costs must be in an account prior to submitting an offer to the bank to start the process.
If you need to sell before you buy that is a whole other issue. I can walk you through that. Many people think with such low inventory where would they go. It may take more time, but there are work arounds, and I can help you with that as well.
