Buy now or wait?

When is the right time to buy a home?

The Federal Reserve recently announced that rates are expected to decline in 2024. This is very welcome news for the many prospective buyers who have been sitting on the sidelines waiting for mortgage rates to drop below 7%. Experts believe that those buyers will come flooding back to the market as soon as mortgage rates get to the 6% range. This means that buyer demand for available homes will increase significantly, which in turn will drive up home prices (again), especially in inventory-strapped areas like Northern California.

Before that happens though, some saavy buyers are realizing that now may be the right time to make an offer on a property while most of the competition are waiting for rates to drop. Although it is true that mortgage interest rates may be higher at the moment, the purchase price will probably be much lower than it would be after rates decline and demand goes back up. Many mortgages can be refinanced after 6 months, so it may make sense to lock in a good deal on a purchase price now and refinance in 6 months. Call me or talk to your mortgage pro to discuss this strategy. It’s always tough to time a market, but for those who are watching, I believe that there are signs along the way that indicate where the opportunity may be. Whether you are considering buying a home in San Francisco or Sonoma Wine Country, I’m here and ready to help.

Bank or mortgage broker: Where should you get your mortgage?

If you are considering buying a home, the best first step is to get pre-approved for a mortgage so you can see exactly what you can afford before you fall in love with a new home. There are many banks and mortgage lenders that can help with your home purchase but buyers often wonder how to find the best one. Low rates and fees are definitely important but so is the satisfaction of past customers. JD Power recently published a ranking of customer satisfaction of mortgage lenders. San Francisco is a city of mostly older homes and some rather unique real estate market idiosyncrasies so it is very important to work with a lender that knows the area.  I have had clients who’ve worked with some of the lenders on the list below, contact me directly and I can tell you which one may be a good fit for your particular situation.  The lender you chose might actually impact whether your offer is accepted or declined so it is important to do your mortgage lender homework. I am here to help.

Mortgage lender rankings