Despite dealing with the COVID-19 outbreak, the real estate market is on the rise, especially here in Idaho. Both locally and across the country, buyer demand is increasing. In a seller’s market like Boise, this is good news if you are planning to sell your home. If you are a potential buyer, now is the time to enter the market. Here are the three top reasons why.
Historically-low mortgage rates
According to a LendingTree survey, 67% of respondents claimed that the all-time low mortgage rates was the biggest reason to buy a house. Getting a great mortgage rate will reduce interest payments on the mortgage every month.
It is important to note that such low mortgage rates have also triggered a massive wave of current homeowners applying to refinance their loans. This, coupled with workplace and staffing complications due to coronavirus, has bogged down lenders and led to longer approval times for both buyers and current homeowners. Exercise some extra patience while waiting to get approved.
Increased savings due to decreased spending
Those who were fortunate to have steady employment during the historic wave of layoffs across the country this spring and were able to work from home have noted that their spending habits changed. Spending less on eating out at restaurants or bars, gas, shopping, and many social activities has led to putting that money in savings or paying down outstanding debts. More money in savings can help you make a larger down payment to potentially avoid private mortgage insurance or help with closing or appraisal costs.
Rethinking living spaces
Speaking of working from home, quarantine and stay-at-home orders have forced many people to reckon with the space they live. For many people, working from home is the new norm, which necessitates the need for a home office or an extra bedroom to convert into an office. Or, the whole family being home full-time has proven the need for more space for everyone to have, well, more space. Either way, many buyers are re-evaluating amenities such as more square footage, extra garage bays, and more yard space.
In addition, renters who have been cooped up in small apartments are making the jump to home ownership so they can be cooped up in a place they own and having more space to live more comfortably.
The bottom line
If you are hesitant to buy or sell, now is the time to pull the trigger. Even though Boise is a seller’s market, both buyers and sellers can take advantage of the current market status and come out on top.
Related: See how Idaho leads the country in home equity increases.
Ready to sell your home? Contact our team of local real estate experts to get started.