3 Reasons Why Waiting to Buy a Home Might Cost You

Many people are feeling uncertain about buying and selling right now because the market is unpredictable. I’m here to offer some clarity about the current real estate market in Orange County and three compelling reasons why buying a house now instead of waiting could prove to be a better move.

1. You always win in real estate. If you look at the historical trend of home values in Orange County, you’ll see that they consistently appreciate over time, regardless of short-term fluctuations. There’s no reason to believe that trend won’t continue. I have a customer in Corona del Mar who bought her first place for $36,000, and now it’s worth $2.4 million. The median home price of a single-family home ten years ago was $600,000, which has appreciated to today’s $1.3 million. History proves that you always win over time.

2. Interest rates. Interest rates are a key factor influencing the affordability of homeownership. While interest rates might seem high at around 7%, there are two reasons to feel comfortable moving forward with buying a house. First, interest rates change daily. If rates go up, you win because you’ve locked in a lower rate. If rates go down, you still win because you have the opportunity to refinance for a lower payment. Whatever monthly payment you commit today, it will never be higher than that because you’re locking in a 30-year fixed mortgage. In 10 years, your rate will likely look very attractive compared to future rates.

3. Building equity for greater ROI. One of the most significant advantages of homeownership is the opportunity to build equity over time. Every month you make a mortgage payment, you’re paying yourself and building equity. This is much better than paying rent in the long run. The median rent in Orange County is about $3,500 a month. If you multiply that by 12 months and 2 or 3 years, you’ve spent a huge amount of money paying someone else’s mortgage. By owning your home, you’re building equity over time.

Real estate has always been the number one way to become a millionaire in this country. While waiting for the “perfect” time to buy a home may seem tempting, the current market conditions present compelling reasons to act now. Take advantage of this opportunity for homeownership in this area and get started today—your future self may thank you for it.

I hope you find this helpful, and if you’re considering making a move or have any real estate questions, don’t hesitate to reach out. Whether you want to buy or sell or are just curious about a particular topic, I’m here to help provide information. Feel free to contact me by phone at (949) 216-8565 or by email. I’m looking forward to talking with you.