It might be hard to see, but there are still opportunities for buyers.

We’re still in the midst of an incredibly strong seller’s market, and many buyers are wondering whether searching for a home is even worth it at this point. To help us answer this and many other buyer-related questions, today we’re joined by Jeff Scherber of Summit Mortgage. He’ll also be talking about the different options buyers currently have at their disposal.

To answer the question of whether it’s worthwhile to buy a home right now, let’s assume a buyer takes out a loan of $300,000. Interest rates are still incredibly low, so let’s say the buyer’s rate is 3.25%. The total interest and principal payments would be around $1,305 per month. However, rates and home values are going to be rising, so let’s assume the buyer waits for a year to take out a loan. Assuming the buyer has to take out a $330,000 loan at a 4.25% interest rate, those small changes in home value and interest rates would put your monthly payment at $1,623—that’s $318 more than before. Over a 30-year period, you’d save around $114,400 if you bought now.

'“These approaches help buyers get their offers accepted, which is especially important in such a competitive market.”

According to the National Association of Realtors, home values are expected to increase at a rate of 10% by the end of the year. One survey shows that values will continue increasing through 2026. Additionally, we’re already seeing that interest rates are slowly rising, which reduces buying power. 

In a market like this, it pays to work with an experienced lender. Jeff has over 25 years of experience, and he’s spent much of that time building relationships with listing agents throughout the area. It’s a huge advantage for buyers when they put in an offer. Summit Mortgage also offers a $10,000 guarantee—if the deal does not close, they give the seller $10,000. They also provide full underwriting approval instead of a standard pre-approval. This is important when submitting an offer, as it shows the buyer will be able to close on time and go through with the deal. Jeff also reaches out to the listing agent before and after the offer is submitted, which helps the buyer know which direction to push the next offer. 

These approaches help buyers get their offers accepted, which is especially important in such a competitive market. His expertise meshes well with ours, and it allows us to work as an effective team for each and every one of our clients. We’d like to thank Jeff for sharing his fantastic insight with us today. 

Aside from the incredibly low inventory, today’s market has benefits for buyers and sellers alike. Buyers have more buying power due to record-low interest rates, while sellers can capitalize on rising home values and multiple-offer situations.

We’d love to help you get an understanding of how our market can take care of your needs, so if you have any questions or would like more information, feel free to reach out to us. We look forward to hearing from you soon.