With mortgage rates fairly stable, and the likelihood of additional home price increases, this could very well be the best time to buy a house in Oregon.
Of course, the ideal timing will depend on many factors — including personal ones. But from a market perspective, one could easily argue that now is a good time to buy a home in Oregon. Here’s a market update to help you make this important decision.
Home Prices Expected to Continue Rising
According to the latest industry survey by Freddie Mac, the average rate for a 30-year fixed mortgage fell to 4.02% during the week of May 18, 2017. At the beginning of this year, it was at 4.20%. So home loan rates have been fairly stable thus far in 2017, and have even dropped a bit since the start of the year.
As far as forecasts go, the Mortgage Bankers Association recently predicted that rates would inch upward between now and the end of 2017.
Oregon home prices, on the other hand, have risen sharply over the last couple of years. According to the real estate information company Zillow, the statewide median home price rose by around 12% over the last 12 months alone. That’s a higher level of appreciation than almost every state in the country.
Looking forward, housing analysts predict that Oregon home prices will rise more modestly, perhaps by less than 5% over the next 12 months. But the general consensus is that they’ll continue rising to some degree, which is worth considering.
Is Now the Best Time to Buy a House in Oregon?
All of this begs the question: Is now the best time to buy a house in Oregon, before prices rise further?
At present, market indicators seem to suggest that housing costs in the state will only go up through the end of 2017 and into 2018. So those who delay their home-buying plans until later this year, or early next, could end up paying more for a house.
Of course, those are just the market factors. As a potential buyer, you should also consider your long-term plans and your lifestyle. Do you plan to stay in one place for at least the next few years? If so, buying a house might work out better than renting, on a monthly cost comparison.
Other Advantages of Homeownership
Homeownership brings other advantages as well. Rents in Oregon have risen rapidly in recent years, prompting discussion of rent control and other measures.
Meanwhile, homeowners with fixed-rate mortgage loans usually have the same monthly payments for the life of their loans. So buying a house in Oregon could potentially give you greater control over your monthly costs, when compared to renting.
Circling back to the question at hand: Is now the best time to buy a house in Oregon? Nobody can predict future real estate or mortgage trends with total accuracy. But economists and analysts seem to agree that there is a strong likelihood that Oregon home prices will continue rising. So there’s a case to be made for buying sooner rather than later.