NOW is the Time to Buy a Home or Land in North Georgia Before Interest Rates Soar
While housing prices in North Georgia are still well above last year’s average; recent mortgage rates are also on the rise. Unfortunately, this change will start making homes less affordable in many areas including North Georgia.
According to Mortgage Daily News, the average rate for a 30-year fixed mortgage just surpassed 5% over the first weeks of April 2022. The team at Realtor.com indicates that the average borrower is now paying about 38% more than they would have for the same home a year ago on a monthly payment. This includes the increased price of housing as well as the escalated interest rate.
How Rising Mortgage Interest Rates Effect the Real Estate Market
When the interest rate rises, so does your monthly mortgage payment. A $300,000 home with a 3% interest rate would have a monthly payment of $1,265, whereas the same home at a 6% rate would cost $1799 a month. This increase of $534 a month can be way out of budget for many people.
Real estate professionals are predicting that the new shift in the real estate market could show an advantage to buyers, as they are seeing the trend of sellers already lowering their asking prices due to the increase in interest rates. The downside though is that some buyers will now have less flexibility to compete for new listings due to their monthly mortgage budget which will be squeezed since rates are going up.
If you are considering buying a home in North Georgia, doing so sooner than later is going to make a huge difference in the price of the home you can afford. Remember that every time the mortgage interest inches up, so does your monthly payment!
Are You Ready to Buy a Home in North Georgia?
The team at Southern Select Properties can help you buy a North Georgia home now before the interest rates increase. Contact us today to start your home search or browse available homes for sale here to see what is available in your price range.
We’d love to help you buy the North Georgia home of your dreams!
