Clear your doubts with these four most common housing market facts.

Misconceptions are common across industries, and the housing industry is no exception. Many people continue to believe these myths about the housing market because of inaccurate and limited information. Let me debunk four of the most common myths in the current housing market, and let me know if you believe any of these misconceptions.

Myth #1: I shouldn’t move until mortgage rates fall. While rates are higher now than they were in previous years, it is impossible for us to predict the future. It is a gamble to wait for rates to fall despite different experts suggesting a slight decrease, and it could cost you more in the long run if you wait for too long. Aside from that, higher rates mean fewer buyers and less competition if you plan to buy, as long as you can comfortably manage your monthly payments at current rates.

Myth #2: I’ll get a better deal once prices crash. The truth is, prices aren’t falling. As of April 2024, the average sales price in Richmond sits above $450,000. In the past five years, home prices have seen ups and downs, but the overall trend is increasing. Yes, appreciation is stalling home prices from going up, but the reality is that it is less expensive to buy a home now than it will be in the future.

The reality is, it is less expensive to buy a home now than it will be in the future.

Myth #3: There are no homes for sale. A lot of people are worried about the low inventory in today’s market, but I’ll tell you that even though inventory levels are lower than usual, new listings are appearing every day. Now that the spring and summer buying seasons are in full swing, available homes are steadily increasing each month this year. This means that you have more options now if you’re planning to move.

Myth #4: I need 20% for a down payment. A larger down payment can lower your monthly mortgage, but it is not always mandatory. There are many programs for buyers that offer lower down payments; some of them even have options as low as 0%. It’s just a matter of speaking with your local mortgage lender, one who understands your situation and can provide you with the best solution.

I hope this article has cleared up some misconceptions you might have had before. If you have any more questions or are unsure if now is the right time to buy, contact me by phone or email. Our team will gladly listen to your concerns and give you the right information to make smart decisions. We will work to create a unique “exit strategy” for you. And remember, it’s not the market… it’s the marketing that makes the difference!