I know you thought this blog post would validate the title, but you’re wrong. As housing prices continue to rise across the globe, it can be tempting to delay purchasing a home until a more affordable time. However, waiting to buy a home is not always the right decision. In fact, delaying the purchase of a home can lead to missed opportunities, lost savings, and regret down the line.
1. Housing prices are on the rise
One of the most compelling reasons to buy a home now is that housing prices are continuously rising. This trend is unlikely to change anytime soon, as demand for housing continues to outpace supply. As a result, waiting to buy a home could mean paying significantly more in the future.
2. Building equity takes time
Another reason why waiting to buy a home may not be the best choice is that building equity takes time. When you purchase a home, you start building equity from day one. The longer you wait to buy a home, the longer it will take you to build equity, which can be a valuable asset in the future.
3. Renting is not a long-term solution
While renting may be an excellent short-term solution, it is not a long-term solution. When you rent a home, you are paying someone else’s mortgage and not building equity in your own property. Additionally, renting does not provide the stability that owning a home does. Your landlord could decide not to renew your lease, leaving you in a precarious housing situation.
4. You can always upgrade later
Finally, another reason why waiting to buy a home may not be the best choice is that you can always upgrade later. You do not need to buy your forever home right away. Instead, you can purchase a starter home that meets your current needs and upgrade to a larger home later in life when you have the financial means to do so.
5. Marry the house, date the rate
While it is true that interest rates are higher than they used to be, the truth is, interest rates are still historically low. If you look back to the last 20 years, our interest rates are slightly above average yet we are not at the interest rates 30 years ago. When my mom bought her first home, she was excited to get a ten percent interest rate! If you are currently renting, your interest rate is 100%
In conclusion, waiting to buy a home may seem like a good decision in the short term, but it could lead to missed opportunities and regret down the line. With housing prices on the rise, low-interest rates, and the importance of building equity, purchasing a home sooner rather than later is likely the better choice.