Higher interest rates are becoming accepted?

[TarHeelNick]

Originally Posted by oregonwoodsmoke

It looks to me like it is dawning on folks that this is the new price of money and that there is still a pretty severe housing shortage. Perhaps best to grab a house while you still can.

It will also occur eventually to the general public, that real estate is one of the few good hedges against inflation and we are in an inflationary period and it probably isn't going to get any better soon.

Trying to "time" a RE purchase based on the market, at least/especially as a prospective owner-occupant buyer, is almost always a fools errand.

The right time to buy a house isn't "now or yesterday" as many thirsty agents/lenders in the industry like to say...

nor is it "in XYZ months/years when the market inevitably crashes like the finance "influencers" like to say with the source being "just buy my book/sign up for my paid class and trust me bro"

The "right" time to buy a house (without factoring in hindsight) is generally when there is a house that you would enjoy living in and can realistically afford. The only major time constraints that should be put on buying "now vs later" are if running up against the end of a lease or a required move.

No crystal ball here (another very cliche RE industry phrase; but at least it is more forthright than those who with their full-chest will tell you they know exactly how things will play out soon)....BUT I am definitely in the camp of believing that with the inventory being what it is and the amount of people waiting on the sidelines for better affordability (be that in the form of lower prices or lower rates; we probably won't see both)... once rates do start trending down more consistently towards low 6s/high 5s.....the active buyers and multiple-offers market will surge again. I don't foresee most properties selling 15-20% over (properly priced) list price like we were seeing in 2021....but competing offers will likely be the norm again.

I also don't think a crystal ball is needed to say fairly confidently that rates in the 2s and 3s are gone for the foreseeable future. Baring another global pandemic/catastrophe (which sadly I wouldn't say is something that sounds too far fetched...but not something I would "Bet on" )

[gatorlyn]

I have a 2-3 year window for buying so I’m choosing to wait. It’s causing me to be really picky.

But if I didn’t have that luxury, if I find a house that meets my basic criteria, I would be buying now.

[gentlearts]

My mortgage is at Rocket, which has been easier to deal with than any brick and mortar mortgage I’ve ever had. We’re very happy with them.

Yet, lately I’ve been getting calls from them wanting us to refinance. My current rate is 2.99%. Why are they doing this? Who would do such a thing?

I think our first mortgage, in the 70s, was 13%. Rates go up and down. If you need a home now, buy it. You can always refi later if the rates go down….and they eventually will. It’s a marathon, not a sprint.

[North Beach Person]

Originally Posted by gentlearts

My mortgage is at Rocket, which has been easier to deal with than any brick and mortar mortgage I’ve ever had. We’re very happy with them.

Yet, lately I’ve been getting calls from them wanting us to refinance. My current rate is 2.99%. Why are they doing this? Who would do such a thing?

I think our first mortgage, in the 70s, was 13%. Rates go up and down. If you need a home now, buy it. You can always refi later if the rates go down….and they eventually will. It’s a marathon, not a sprint.

They're losing money on your mortgage now. They're hoping to entice you with a cash out payment for refinancing, the difference between what you now owe and the accrued equity.

[gentlearts]

Originally Posted by North Beach Person

They're losing money on your mortgage now. They're hoping to entice you with a cash out payment for refinancing, the difference between what you now owe and the accrued equity.

No kidding, one guy hoped to entice me by consolidating my $250. same as cash bill from Home Depot into my refi. It must suck to be a mortgage broker right now.