Projected inflation in home prices and interest rates could make buying a home in Boise more difficult, even as early as 2015. From a financial standpoint, now is the time to look at buying a home in Boise. But, for many, purchasing now just isn't a possibility So, what do future home buying opportunities look like? First, let me assure you that buying a home in Boise won't become impossible and actually could be better than racing to buy now when the situation is not right for you and your family. However, it is likely that buying a home in Boise will be more costly down the road then in today's market.
Here are 3 reasons buying a home in Boise may be more financially difficult in the coming years.
Financing is tougher to get. After all the hoopla and mortgage fraud of the last boom, lenders are more cautious and the government has established strict rules to prevent a repeat of the mortgage crisis. Although these rules help keep those who shouldn't get loans from getting them, they also make it more difficult for some financially sound individuals to get approval for buying a home in Boise. People who would seem to have no problem getting qualified are often surprised when a mortgage is denied due to current regulations.
The rise in home prices is poised to outpace the growth of the broader economy. As we saw during the last boom, the cost of buying a home in Boise may increase at rates higher than wages and other economic growth contributors.
Mortgage interest rates are expected to rise. Even a 1% upward change can increase monthly mortgage payments by hundreds of dollars, making the cost of buying a home in Boise much higher than it would be at current low rates.
Remember, buying a home in Boise now is not the right decision for everybody, but if it's a possibility for you, I would definitely encourage you to consider it. If you want to discuss your options, please give us a call at 208-861-5639 or send us an email. We look forward to meeting with you to help determine if buying a home in Boise now is the right decision for you!