Are you thinking about upgrading to a newer, larger home? Congratulations – owning a bigger home is a liberating experience that provides you with a lot more flexibility in using your space. In today’s blog post we’ll explore whether or not now is a good time to buy a bigger home in Northern Virginia.
Will I Get a Better Deal Buying Now or in a Year or Two?
As you can imagine, with real estate markets as fluid as they are it’s somewhat impossible to predict whether or not you’ll be able to buy at a discount at any point in the future. However, we can analyze past trends which will give us an indicator of where the market is heading and what we can expect – and in most cities and towns throughout Northern Virginia, the market has been heading up.
In Alexandria the median sale price for a home was about $440,000 in August, which is up about 3 percent over last year’s figure of $425,000. The situation is about the same in Reston, where the median selling price of $425,000 is up about 4 percent since August 2013. In Centerville, prices are up 3 percent year-over-year and in Sterling they’re up about 1 percent.
Again – we can’t predict the future, but with prices trending up over the short-to-medium term this would indicate that now is a good time to buy a bigger home. If you have a particular community in mind that we didn’t list above, contact us and we can supply you with recent market trends.
Are Mortgage Rates Good Now – or Should I Wait?
While mortgage rates crept a bit higher in the beginning of September, rates are still between 3.29 and 4.27 percent depending on the type of mortgage and amortization length you’re working with. Rates are at historic lows and with the economy starting to heat up and Treasury yields starting to creep higher, you can rest assured that mortgage rates will begin to rise eventually. For now analysts like Bankrate.com’s Janna Herron believe that rates will remain stable, however with the Federal Reserve ending its QE3 program in October it’s likely that interest rates will rise soon – perhaps as soon as the holiday season. If you plan on taking out a mortgage to help cover the purchase cost of your new home it’s worth consulting a financial professional soon to get the pre-approval process started.
When is the Best Time of Year to Find Deals or Negotiate?
Another factor working in your favor is that the busy summer real estate season has come to a close, which means that fewer buyers will be out competing for listings and sellers will be a bit hungrier for attention. You may also find that the offer and negotiation process goes a bit smoother – especially if the seller has had their home up for a few months without getting their deal closed.
Are You Ready to Buy a Bigger Home? Contact Us
When you’re ready to move forward with your new home purchase, we’re ready to help. Contact the E4Realty Group at your convenience at 703.722.5018 or by email on our quick contact form. We look forward to helping you find the perfect new home.