The Cost Of Waiting

Posted by Rick Turner on Wednesday, July 31st, 2013 at 12:22pm.

 Hilton Head Mortgage Rates

Are you waiting for the right moment to buy Hilton Head area real estate? No matter what real estate market you are interested in, do NOT to wait any longer. There is an expectation that in the next 12 to 24 monts, interest rates are going to rise significantly from the rates we are experiencing now.

The BEST time to buy real estate here in  Hilton Head SC and nationwide is NOW. What makes me feel so confident? I have a plethora of expert real estate market analyses and specifically Hilton Head real estate market trends to know that the market is in an upswing from here. That means that for home buyers waiting on the sidelines before making their move, now is the best time to get the most home for their money and at the best rates, too! 

Hilton Head Island Area Real Estate Market

If you would like to buy a $500,000 dollar home, with a mortage for $400,000, at the current mortgage rate of 4.48% on a 30 year fixed, you would have a total mortgage payment of  $2021.99 before taxes and insurance. 

Doug Duncan, Chief Economist for Fannie Mae recently stated, "I don't think the Fed ultimately would be concerned with a 6.5% mortage rate". The market trends are showing that home prices have bottomed out and are now increasing, and in the last year alone in the Hilton Head Island area, home prices for Hilton Head Island area homes for sale have grown 13% so far this year. Therefore, let us estimate that for next year, home prices only grow 10%. That means that the home you could buy NOW will cost you $550,000 NEXT YEAR

Interest rates are also continuing to climb at a steady rate. Let us just estimate that interest rates only increase 1% in the next year. 

So if you buy next year, your home is now costing $550,000, at a mortgage rate of 5.48%. That means that your mortgage payment will be $2266.14 before taxes and insurance

Hilton Head Real Estate Market Projections

By waiting until next year, that extra $240 a month in payment means that over the life of your loan you will be $815,810.12 for your home. By waiting a year, you will spend $ 86,400.00 MORE than if you bought your home RIGHT NOW

Now those are encouraging projections to start browsing the Hilton Head MLS for the dream home you have been delaying moving to buy. I hope that no matter if you are looking at the Hilton Head area or any other area, I hop you take advantage of the current market conditions and buy a home now. If this is the area you would like to be, as Hilton Head Realtors, we are happy to serve you in finding your dream home. 

Rick

Rick Turner has been one of the top Realtors in the Hilton Head Island-Bluffton-Beaufort area for over 30 years. He loves being involved in community activities and spending time with his lovely wife. In his free time his wife and he thoroughly relish spending time with their children and grandchildren.  

Rick Turner

Turner/Rudd Team

Engel & Volkers Hilton Head Island - Bluffton 

Mobile: 843-816-0796

E-mail: Rick.Turner@evusa.com

Website: www.turnerruddteam.evusa.com

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