Two Questions To Ask Yourself if You’re Considering Buying a Home in Colorado Springs

Key Considerations for Colorado SpringsHome Buyers: Insights on Home Prices and Mortgage Rates

When you're contemplating purchasing a home, your mind is likely filled with a whirlwind of information coming from various sources - the news, social media, your friends, your family, overheard conversations, and, of course, real estate professionals. Two of the most recurring themes are home prices and mortgage rates. To guide you amidst this sea of information, here are two critical questions to ponder and the data-backed responses to aid your decision-making.

1. Where Are Home Prices Heading?

To understand this, a reliable resource is the Home Price Expectation Survey from Pulsenomics, which surveys over a hundred economists, real estate experts, and market strategists. The latest release predicts a minor depreciation this year. However, the significant declines are behind us, and prices are rising again in many markets. The small 0.37% depreciation HPES projects for 2023 is far from the severe crash some predicted.

Why does this matter to you? Looking ahead, prices are expected to appreciate from 2024 onwards, returning to more normalized levels. This projection matters as it implies that buying now would likely result in your home's value growing and building equity in the upcoming years. Waiting would only mean purchasing at a higher cost later.

2. What's the Future of Mortgage Rates?

In the past year, mortgage rates have risen due to economic uncertainty and inflation. Although inflation remains high, it has moderated from its peak, potentially leading to lower mortgage rates.

However, predicting mortgage rates is a complex endeavor. There's no absolute certainty on what next year or even next month will look like. To give you a clearer picture, consider these scenarios:

- If you buy now and mortgage rates remain the same: You've made a wise decision by beating rising home prices.
- If you buy now and mortgage rates decrease (as projected): You likely made a good decision as you secured the house before further price appreciation, and you could refinance your home later if rates drop.
- If you buy now and mortgage rates increase: You've made a great decision by purchasing before both home prices and mortgage rates escalated.

In Conclusion

When considering buying a home, it's crucial to have a grasp on home prices and mortgage rates. While nobody can predict their exact trajectory, expert forecasts can provide powerful insights. Let's connect, and as a seasoned professional in the Colorado Springs area, I can offer expert opinions about our local market. Trust my two decades of experience in buyers, sellers, and shifting markets to guide you to your perfect home. 719-434-7525

> Search houses for sale in Colorado Springs and surrounding areas

> Find the value of your Colorado Springs home

Colorado Springs Real Estate | Monument Real Estate | Fountain Real Estate
Peyton Real Estate | Manitou Springs Real Estate