By Scott Jacobs
Our local real estate market at Plantation Bay Ormond Beach is really starting to heat up and with interest rates below four percent on most fixed rate mortgages, it’s time to get off the fence.
Whether you’ve been looking to purchase, move up and/or refinance your existing home, this is one of the best times to take advantage of what the market is doing. You must
read this to find more insight into mortgages and their dynamics. This isn’t just applicable to your primary residence as rates have fallen on second homes and commercial properties as well. So, what’s causing mortgage rates to be as low as they are?
The overall market is recovering as we are starting to add jobs again. As a result, there is a new sense of optimism. Real estate is local, and here in Northern Virginia we are primed for another jump as I predict interest rates will remain low throughout most of this year. Meanwhile, home prices are predicted to rise.
There are other favorable economic indicators. I don’t know about you, but for someone like myself who drives a large SUV (and used to cringe every time I had to fill up my gas tank), the current gas prices have provided a very welcomed addition to my family's budget. Lower oil prices also equate to lower inflation rates. This equals lower mortgage rates. Rather than sit on the sidelines and debate whether or not the rates can fall any lower, I encourage everyone to take advantage of the opportunities that are available today.
Every colleague I know in real estate seems to have an extra bounce in his or her step lately. It's because as we’ve seen and felt this all before. Since the start of 2015, business has been very busy as buyers are actively looking for homes, and the average days on market for new listings are starting to fall. Our area is becoming a very desirable place to live with all of the new amenities being created including excellent schools and close proximity to our nations’ capital. With telecommuting on the rise and talks of a widened I-66 with hot lanes, I believe that we will undoubtedly see a very strong real estate market this year.
If you’ve been renting, now is the time to buy as it is likely cheaper to purchase than to keep paying your landlord's mortgage each month. However, if you’ve been waiting to move up into something a little larger, or even to downsize, while you might be able to squeeze a little more out of your current property, the one you’ve had your eye on might also cost you more. This could canceling out the some of the financial benefits of purchasing a new home.The same applies to those who are looking for investments and/or growing your existing business.
However, the real benefit of getting off of the fence, today, is the ability to take advantage of historically low interest rates. The outlook for our local economy is looking up, and whether you’ve been on the fence for a week or several years, I hope that this column gives you the shove that you might have needed.
Scott Jacobs is a Prince William County born real estate brokerage owner, entrepreneur, husband and father that is actively involved in the local community. Contact information for Jacobs & Co. Realtors is 703-594-3800.
This column is the opinion of the author and does not necessarily reflect the views of Bristow Beat, its editors, writers or sponsors.
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