During our January homebuyer event, we’re highlighting many of the reasons buying a new home is a great way to start the new year! Here’s the scoop for our friends in real estate:
Loan limits have increased.
Your clients may have more buying power than they realize if they received mortgage preapproval before the 2017 loan limit changes kicked in. The difference could be several thousand dollars, depending on your location, so it’s in their best interest to check. FHA and conventional mortgage loan limits are searchable here on the HUD website.
Have military buyers? VA loan limits are the same as conventional loan limits.
Rates are rising (but still very low).
Yes, the Fed increased short-term interest rates at the end of 2016. No, that shouldn’t stop your clients from closing on a home if they’re otherwise prepared to buy. In fact, one could argue that’s an excellent reason to lock in a rate now, in case of additional increases in the months to come. If your clients are interested in financing through our affiliate, HomeAmerican Mortgage, encourage them to ask about an extended rate lock.
Rent is rising, too.
First-timers waiting to make the leap from house hunter to homeowner should seriously weigh the continued and—in many markets—increasing cost of renting. Despite rising home prices, monthly mortgage payments may still be more affordable than rent in your area, and an especially attractive choice if your clients plan to stay put for a few years. Check out some of our low monthly payment estimates on a new home here.
Don’t let your clients get so bogged down in short-term market trends that they overlook the lasting benefits of buying a home: pride in ownership, freedom to personalize, predictable housing costs, the chance to build equity and the opportunity to put down roots in a community they love.
Looking for more ways to motivate your buyers? Invite them to download our free New Home Buying Basics Guide. It’s filled with tips and tools to help get them excited about their homebuying journey and comfortable with the process of buying a new home.