Maybe your family is growing or you are looking to the future when you will need to care for an elder. With many homes throughout the Phoenix Metropolitan area increasing in value, it may make sense to move up sooner rather than later.
Here’s an example of why. If you own a home in Mesa valued at $200,000 and the value appreciates by 10% in the next year, your value would rise to $220,000. If you want to purchase a better a home in Scottsdale for $350,000 and it went up 10% in the next year, the new value would be $385,000. Your current home increase would be $20,000, but the New Home increase would be $35,000 if you wait a year… so you would actually be loosing money by waiting.
Something also to consider is the demand for less expensive homes. There are many First Time Home Buyers or individuals that are now able to purchase again after doing a short sale. Currently, depending on the price point of the current home, the move up buyer should expect to see higher demand for the home that they are selling and a little less competition for the more expensive home that they are purchasing.
Finally, it is always good to keep in mind that home mortgage interest rates are slowly on the rise so locking in a nice low rate can save you thousands too!
Home values continue to fluctuate here in the Phoenix Metropolitan Area. The example used was based on market activity over the last year. If you are interested in learning more and want to discuss your options, call James Wehner at 480-323-5462.