Feb 06 2024

5 expert hints for spring homebuyers

is it a good time to buy a house
is it a good time to buy a house

Is it a good time to buy a house, or should you put off your home search until summer? 

Is it a good time to buy a house? If you’re a homebuyer, you’re bound to be asking this question. While the housing market is less frantic than it once was, there are several strong indicators that support buying this spring.

Is it a good time to buy a house? 5 reasons

Understanding the current state of the housing market can help you make your smartest decision:

1. Mortgage rates are moderating.

As mortgage rates increased over the last two years, housing market activity began to slow. This caused the average home to receive fewer offers and spend more time on the market. As a result, many homeowners decided to wait to sell. Housing inventory is still at record lows, but some housing market authorities expect reluctant home sellers to start listing soon.

Meanwhile, mortgage rates are beginning to decline from their highest points. Homebuyers are returning to the market. “We are forecasting that lower rates should help to keep this demand strong as we enter the spring homebuying season,” Mike Fratantoni, Mortgage Bankers Association Chief Economist, says.

2. Rents keep rising.

Has your rent increased yet? If not, a hike could be coming.


But is it a good time to buy a house? Homebuying costs have increased too, due to higher rates and prices. Interestingly, the market changes brought on by rising mortgage rates can often be beneficial, helping to mitigate higher monthly payments. As we saw in the recent low-rate environment, homebuyers rushed to the market. This created a frenzy of bidding wars, rapidly inflating home prices.

In a calmer environment where rates are somewhat higher, a homebuyer is less likely to have to compete at the same level. You may have more time to view and compare homes, more room to negotiate on price, and the chance to ask for concessions. In this way, buying a moderately-priced home at a higher rate can be comparable to paying an inflated price at a lower rate. 

Is it a good time to buy a house? Connect with a local Academy Loan Officer to get your questions answered, no strings attached. 

3. Housing prices may continue to rise.

If you’ve been searching for a home, then you already know that:

  • Housing prices soared through the pandemic. 
  • This was caused by booming buyer demand, driven by dramatic drops in mortgage rates.

It’s now 2024, and home prices aren’t expected to plummet. While forecasts vary, the National Association of REALTORS® (NAR) predicts that national housing prices will remain relatively unchanged for the second year in a row. NAR forecasts a 0.9 percent annual home price increase, while CoreLogic calls for 2.9 percent

Even a slight appreciation in a home’s price can add to your monthly mortgage payment. Dave Ramsey has said that the ideal time to buy a house is “right now” as home prices aren’t likely to get any lower.

4. You’re missing out on equity.

Renting only contributes to your landlord’s equity growth. Buying a home gives you the chance to build your own. The average homeowner has gained nearly $300,000 in equity. Renting instead of owning means missing out on these equity gains.

Thankfully, there’s still time. As soon as you become a homeowner, you begin building prosperity by building home equity. Many homeowners cash out on this equity in the future, using it to sell and trade up or downsize, help pay for tuition or medical expenses, or start a business.

5. You may have more room to negotiate.

When buyer demand slows, sellers become more motivated. More than a third of sellers are agreeing to buyer concessions, up from two years prior. “Some sellers are giving out concessions and getting less money than they hoped for their homes, which can occur when a seller cuts their asking price, accepts an offer below their asking price, or both,” Redfin reports.

But spring is a season when more homebuyers typically enter the market. And so, this amount of leverage isn’t guaranteed to last. If you’re a homebuyer who wants the power to negotiate, it may be worth returning to the market as soon as you’re able. When springtime buyer activity picks up, seller concessions may not be as widely available.

Get exactly what you want out of your mortgage

To us, you’re so much more than a number. If you want a mortgage experience that’s as unique as you are, with guidance from a real person who can assess your needs and find a great loan to match: Contact your local Academy Loan Officer.

Please consult a trusted professional as personal circumstances may vary. No specific results are guaranteed. Not all applicants will qualify. MAC2501-2180572.