If you’ve found a house you really like, but you’re on the fence about whether to buy or not, consider the fact that buying now can be a wise decision financially.
There are many reasons. First, while interest rates are really low, they are rising, so buying now can save you from higher interest rates next year. Not only that, but home prices are rising and a home like the one you’re looking at now will cost you more next year, according to the National Association of Realtors.
Buying a home makes you eligible for tax incentives, and the sooner you buy, the sooner you can start saving. You can deduct the interest you pay on your mortgage next year, and, if it’s your first time deducting mortgage interest, you may be able to reduce federal income tax withheld from your income, giving you more take-home pay, according to Business Insider, which adds that property taxes and some closing costs are also tax deductible.
Your moving costs will likely be lower now and you won’t be put on a waiting list, like you would in summer. Because it’s a slower market overall, there’s a good chance you can snag a mover discount.
You have better negotiating power in the winter since there are fewer buyers to compete with, as many people are caught up in the holidays and many can’t see a major move in inclement weather. Additionally, many sellers are motivated to sell quickly due to job moves, family issues or other time-sensitive reasons. This could conceivably save you thousands off the asking price or lower your closing costs, or get you other incentives such as zero points on your loan, says Business Insider.
120 N 2nd Avenue West
Newton, IA 50208