Is The Price of Money Going Up?

How much more will your mortgage cost?

Are you still considering jumping into the San Diego real estate market? Well if you’re still on the fence you’re going to want to read this post. Just today I read a piece in the newspaper that stated that mortgage rates rose slightly. Is this another reason to move forward with that home purchase you’ve been trying to time? 

I wish I had a crystal ball and give all of you a definite answer but what I do know is that your mortgage rate can affect how much home you can afford. I know one certainty, and that’s that a person’s mortgage determines where they live. Now is an incredible time in history when it comes to low mortgage rates and this should entice buyers to purchase. At no other time in history has there been a better time to become a home owner especially somewhere like here in San Diego. 

How much will it hurt you if interest rates go up? Well depending on how much your home purchase it could be a costly thing. It might not be much of a difference if your buying in a moderately priced zip code but if you’re buying somewhere like Mission Hills north of downtown San Diego it could be immensely over the course of 30 years. Try playing with a mortgage calculator and see how much even a slight rate increase can cost you.

Being a first time home buyer can be a very intimidating and confusing time and this is why I take more time, care and attention with this category of buyers. Is it time to buy a home? For some it might not be but for many it probably should be. San Diego has become more affordable and if we were to look at home prices 10, 20, or 30 years back we’d kick ourselves for not buying then. Prices will only continue to go up in the long run and the only way a buyers will ever get San Diego at this big of a discount is if someone invents a time machine.

Feel like talking about your home needs or situation? I’m listening.