NAVIGATING THE 2024 REAL ESTATE MARKET: WHAT TO EXPECT

The housing market is currently facing a balancing act. Inventory remains low, creating a competitive environment for buyers. However, interest rates have risen significantly after years of hovering near historic lows. While higher rates translate to larger monthly payments, there's an argument to be made for buying now despite them. If, as some experts predict, interest rates fall in the future, a surge in buyer demand is likely to follow. This could lead to faster price increases and even fewer homes on the market. So, for those determined to become homeowners, entering the market now, even with higher borrowing costs, could prove advantageous in the long run.

Consider this: when interest rates do fall, you can refinance into a lower rate, effectively locking in the current price of your desired home and getting the lower rate. This strategy contrasts with waiting for rates to fall while hoping for a more favorable buying environment. In that scenario, you might secure a lower interest rate, but you'll likely be faced with a significantly higher home price due to increased competition. By buying now and refinancing later, you can potentially save significant money in the long run.