You may be wondering whether it makes sense to buy a home today when inflation is so high. Let’s dig in.
In an ideal world, you would move to a new home when inflation is low. However, we live in reality and have to consider our housing wants and needs right now. You may have heard that it’s not a good time to buy. However, here we present two reasons it still makes sense to pursue homeownership.
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Even when other costs rise due to inflation, buying a home helps you keep your monthly housing payments steady.
As Freddie Mac explains, “Not only will buying today help you begin to build equity, a fixed-rate mortgage can stabilize your monthly housing costs for the long term even while other life expenses continue to rise, as has been the case the past few years.”
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If you keep renting, it’s probable your rent will increase over time.
Historically, rents have been shown to increase with inflation. When you buy a home, there are no more rent hikes. According to a recent survey, 65.1% of landlords say they plan to raise the rent of at least one of their properties within the next year. Obviously, when inflation is up, a stable housing payment can be a lifesaver.
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In conclusion, though inflation is quite high at the moment, it still makes financial sense to consider buying. For more insight into today’s real estate landscape or to begin your journey to homeownership, connect with your local Surterre agent at SurterreProperties.com.
