I have been professing for the past 6 months that it truly is the best time to purchase a home in Parkland and South Florida. But, some may think that real estate professionals are only saying this because we are looking to close more transactions and earn more commissions. Because of that, today I wanted to quote two of the largest media outlets in the newspaper and magazine industries that are also advising their readers to purchase homes now.
Last week, I read an article entitled It’s Time to Buy That House, and the WSJ told their subscribers:
“It’s an excellent time to buy a house, either to live in for the long term or for investment income…Houses aren’t the magic wealth creators they were made out to be during the bubble. But when prices are low, loans are cheap and plump investment yields are scarce, buyers should jump.”
MarketWatch.com, which is WSJ’s online blog told their readers the following:
“Now could be the best time in history to buy a home.”
In a report to their readers, Capital Economics reported that:
“The previous declines in house prices and the more recent drop in mortgage rates to record lows have created an unusual situation in which the median monthly mortgage payment is more or less the same as the median rental payment.”
Why is the quote so important to potential home buyers? Last week, Forbes explained to their readers:
“If rents simply kept up with inflation at a 3.2% annual increase, a $1,500 rent payment would cost that renter nearly $900,000 over the next 30 years. The same $1,500 payment made to their mortgage would be only $540,000 (because the payments don’t increase with inflation).”
They went on to explain the advantages of homeownership during retirement:
“Even with a dismal 1% growth rate over 30 years, a $300,000 property would appreciate well over $100,000 giving the homeowner an additional nest egg for retirement… At a time when retirement is becoming much more challenging, an extra $400,000 (or likely more) can make a major difference not to mention the impact of NOT having to pay a mortgage. How much less would you have to save for retirement if you didn’t pay the mortgage?”
You know that is it the right time to buy a home when both iconic financial newspaper and magazine companies both profess that now is truly the best time to buy a home.
Know the neighborhood. Know the value. Know your hometown agents: The Parkland Parrot Real Estate Team. If you are interested in buying or selling in Parkland or South Florida and are looking for experienced local Realtors, please do not hesitate to contact the Squawk at 954-609-0591 or send us a message here.