February 7th, 2023 10:26 AM by Dru Scott
Interest rates follow inflation. For the most part, interest rates are elevated because our country is experiencing inflation. Once the shock of higher rates wears off, consumers will get used to the new interest rates and borrow to buy homes as usual. I bought my first home at a 13.875% interest rate. That was a 30-year, fixed FHA loan. As lower rates became available, I refinanced when it made sense.
Home prices have dropped. By how much? Well, that varies by location and price range. It's a function of supply and demand. Usually, higher priced homes are the first to drop and last to recover their value.
If you are a current homeowner and want to move up to a more expensive home, it might be a great time. The idea is that the home you buy will save you more than any drop on the one you sell.
The beauty is that you can explore options, at no upfront cost, by calling me before you make any decisions.