7 reasons to buy a house before 2014
by. Sabah Karimi
If you’ve been thinking about taking the plunge and buying a home, the last quarter of 2013 might just be the time to do it.
Rates on fixed-rate loans are still appealing, and experts say it’s still cheaper to buy than rent. Some financial institutions are also a little more lax with their loan qualification requirements this year.
Here are seven reasons to buy a home by the end of the year:
1. Mortgage rates are still dropping. The average rate for a 30-year fixed rate loan is 4.50 percent at the time of publication. While this is a 1.15 percent increase from the historic low of 3.35 percent at the end of 2012, it’s still an attractive rate for prospective homebuyers. The housing sector is getting stronger and inflation rates are low, which promotes low mortgage rates.
2. It’s still cheaper to buy than rent. If you live in a metropolitan area, it may make more financial sense to buy a home than rent a house, condo or apartment. According to a 2012 Trulia Trends study, buying a home is 44 percent cheaper than renting in the 100 largest metro areas in the United States. While this data was calculated based on last year’s lower mortgage rates, there is still a significant price difference in total monthly costs with today’s rates.continue reading »