A few good reasons to consider buying a home despite inflation.

If you’ve been watching the news lately, you’ve likely heard about inflation. We recently hit a 40-year high for inflation, and if you were thinking about buying a home this year, you might be having second thoughts. There are lots of reasons to wait, but there are also some good reasons to buy now. 

You have to remember that buying a home helps stabilize your monthly expenses. If you get a fixed-rate mortgage, your monthly payment stays the same for the life of the loan, which is typically 15 to 30 years. While other prices increase around you, your biggest monthly expense will remain the same. While rising interest rates and home prices make it more expensive to purchase a home, you can still set yourself up for long-term gain.

“While other prices increase around you, your biggest monthly expense will remain the same.”

During inflationary times, you want to invest in assets that outperform the current inflation rate. The graph at 2:03 shows how home price appreciation beat the average inflation rate in most decades since the 1970s.

Most experts predict that home prices will continue to rise. We still have way more demand than we do supply, and we don't expect that to change any time soon. Once you purchase a home, price appreciation increases your equity and net worth.

If you’re considering buying a home, please call or email me. I’d love to talk with you and help you decide if now’s the right time for you.