1. Home
  2. Blog
  3. Future Looks Bright for Home Buyers in 2016

Future Looks Bright for Home Buyers in 2016

Posted by Lorea Thomson on Thursday, December 31st, 2015 at 10:18am.

For those of you who happen to be planning to buy a home in the New Year there is a whole lot to celebrate this upcoming year.  According to National Association of Realtors, “varieties of financial vectors have dovetailed” to make 2016 the year to buy a home.

Mortgage rates have been bouncing around record lows for a while now. However, even though they are likely to start going up, you have not missed your chance to get a deal on a house.  Even though they may creep up at any moment, it is nonetheless a fact that interest rates on home loans are at historic lows, with a 30-year fixed-rate home loan still hovering around 4%.

Rents have skyrocketed! Another reason homebuyers are lucky is that rents are going up, up, up!  In fact, rents in 2015, according to the 2015 Rental Market Report, 88% of property managers raised their rent in the past 12 months, and an 8% hike is predicted for 2016.

Home prices are stabilizing. For the first time in years, prices that have been climbing steadily upward are stabilizing, restoring a level playing field that helps buyers drive a harder bargain with sellers, even in heated markets.

Tax laws continue to favor homeowners with advantageous tax breaks, so you are not just buying a place to live—you are receiving a tax break! The biggest one tax advantage is that unless your home loan is more than $1 million, you can deduct all the monthly interest you are paying on that loan. Homeowners in the South Florida area may also deduct certain home-related expenses and home property taxes.




Leave a Comment