Is This Really ‘the Worst Time to Buy a Home’? – The New York Times

2 minutes, 19 seconds Read

Maybe — but it’s not a terrible time to rent.

Illustrations by Ale+ale

For four years now, the housing market has defied all logic.


Buy/sell, rent/lease residential &
commercials real estate properties.

A global pandemic didn’t collapse prices, but sent them soaring to new heights. Last year, mortgage rates hit a 23-year high and sales plummeted. Even so, home prices stubbornly kept rising, creating the most unaffordable housing market in generations.

This year offers a new plot twist: More apartments are under construction than at any time in half a century, delivering renters more new apartments than they’ve seen in decades.

So while buying a home continues to be an infuriating experience, marked by high prices, high interest rates and low inventory, renting an apartment is getting easier. That means that unless you plan to live in a house for the next decade or so, now may not be the best time to buy it.

“This is about the worst time to buy a home,” said Christopher Mayer, a real estate professor at Columbia Business School.

The Difference a Rate Makes

Buy a $400,000 house with a 20 percent down payment on a 30-year fixed-rate mortgage, and the monthly payments will vary widely depending on the interest rate you lock in.

#g-19housingmarketchart-box ,
#g-19housingmarketchart-box .g-artboard {
margin:0 auto;
}
#g-19housingmarketchart-box p {
margin:0;
}
#g-19housingmarketchart-box .g-aiAbs {
position:absolute;
}
#g-19housingmarketchart-box .g-aiImg {
position:absolute;
top:0;
display:block;
width:100% !important;
}
#g-19housingmarketchart-box .g-aiSymbol {
position: absolute;
box-sizing: border-box;
}
#g-19housingmarketchart-box .g-aiPointText p { white-space: nowrap; }
#g-19housingmarketchart-Artboard_2_copy_2 {
position:relative;
overflow:hidden;
}
#g-19housingmarketchart-Artboard_2_copy_2 p {
font-family:nyt-franklin,arial,helvetica,sans-serif;
font-weight:300;
line-height:13px;
height:auto;
opacity:1;
letter-spacing:0em;
font-size:14px;
text-align:left;
color:rgb(0,0,0);
top:1.1px;
position:static;
text-transform:none;
padding-bottom:0;
padding-top:0;
mix-blend-mode:normal;
font-style:normal;
}
#g-19housingmarketchart-Artboard_2_copy_2 .g-pstyle0 {
height:13px;
position:relative;
}
#g-19housingmarketchart-Artboard_2_copy_2 .g-pstyle1 {
font-weight:700;
line-height:35px;
height:35px;
font-size:18px;
top:1.4px;
position:relative;
}
#g-19housingmarketchart-Artboard_2_copy_2 .g-cstyle0 {
font-weight:300;
}
#g-19housingmarketchart-Artboard_2_copy {
position:relative;
overflow:hidden;
}
#g-19housingmarketchart-Artboard_2_copy p {
font-family:nyt-franklin,arial,helvetica,sans-serif;
font-weight:700;
line-height:35px;
height:auto;
opacity:1;
letter-spacing:0em;
font-size:18px;
text-align:left;
color:rgb(0,0,0);
top:1.4px;
position:static;
text-transform:none;
padding-bottom:0;
padding-top:0;
mix-blend-mode:normal;
font-style:normal;
}
#g-19housingmarketchart-Artboard_2_copy .g-pstyle0 {
font-weight:300;
line-height:41px;
height:41px;
font-size:14px;
top:1.1px;
position:relative;
}
#g-19housingmarketchart-Artboard_2_copy .g-pstyle1 {
height:35px;
position:relative;
}
#g-19housingmarketchart-Artboard_2_copy .g-cstyle0 {
font-weight:300;
}

INTEREST

RATE

MONTHLY

PAYMENT

INTEREST

RATE

MONTHLY

PAYMENT

INTEREST

RATE

MONTHLY

PAYMENT

3.0%

$1,349

6.5%

$2,023

7.0%

$2,129

INTEREST RATE

MONTHLY PAYMENT

3.0%

6.5%

7.0%

$1,349

$2,023

$2,129

By The New York Times

We are having trouble retrieving the article content.

Please enable JavaScript in your browser settings.


Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.


Thank you for your patience while we verify access.

Already a subscriber? Log in.

Want all of The Times? Subscribe.

This post was originally published on 3rd party site mentioned on the title of this site

Similar Posts

X
0
    0
    Your Interest
    Your Interest List is emptyReturn to Buying
    ×