It’s a good question, and one many consumers are asking. With the Denver Metro housing market being so hot, and no signs of cooling off, is now the best time for you to buy a new home? Read this post for some information to help you make that decision.
Here are some reasons against buying right now.
- In May, more than 70% of homes sold for above asking price.
- Even with mortgage rates at or below 3%, those high prices mean consumers will be getting less house for their money and will have to stay in the home for at least 7 years to recoup.
- With low supply and huge demand, bidding wars have become common. The typical home sold in just 10 days last month.
- Who needs the aggravation, right? Maybe consumers should just wait six months or a year for the market to calm down? If it will calm down?
Here are some reasons to buy right now.
- Interest rates are still exceptionally low by historical standards. Without rising rates, there’s nothing to cool off prices in the foreseeable future.
- A demographic tidal wave of millennials moving here and looking to buy means demand will be strong through at least 2024.
- Waiting to buy could cost consumers dearly. Home prices rose from 18% to 25% in most Front Range areas over the last year. That means those who wait will have to pay more for the same house year over year and lose out on the equity they could have been building during that time.
Should you buy in this super-hot housing market? If it is just going to get hotter, the answer is probably … yes. But does that mean the answer is yes for you right now? Perhaps, however feel free to reach out anytime to discuss your wants and needs at the moment and we can uncover the right solution for you.