Benefits of buying a home at the end of the year. . .

In addition to low interest rates, there are other benefits to buying at the end of the year, including:

Tax savings. Closing on your new home by Dec. 31, 2017, means you can deduct mortgage interest, property taxes and points on your loan on your 2017 income tax return. You can also deduct the interest costs associated with a home equity loan. These deductions are significant, especially in the early years of your loan when you are paying off so much interest.

Motivated Sellers. Many sellers will also be anxious to sell by the end of the year so that they can also enjoy tax savings on the next home they purchase. That means you may have more leverage during negotiations and they may be willing to accept lower than their listing price. However, if you’re in a strong seller’s market, be conservative and always seek the advice of your real estate professional.

Special Incentives. If you’re buying a new house, there’s a good chance builders will be offering incentives. Many builders will throw in nice little extras to sell as many houses as they can by the end of the year.

More visibility. Generally speaking, the housing market slows down in the fall as fewer homes are being listed. This gives your home a chance (with the right marketing) for higher visibility by serious buyers, not to mention that the weather in November makes it a great time for house hunting!

It’s easier to move. Many moving companies are booked six or so weeks in advance during the busy summer months. In the fall and winter it’s normally easier to secure the services of a moving company or rental equipment on shorter notice.

A new home for the holidays. The holiday season is a great time to celebrate your new home with family and friends.

In addition, you’ll enjoy the many benefits that come with homeownership, regardless of what time of year you buy, including:

Paying toward something you own. If you’re renting, your rent payment goes toward something that will last you a month — a place to live for 30 or so days. When you buy a house, your monthly mortgage payment goes toward something you own.

Consistent payments. Landlords have the discretion to increase your rent, plus it’s exposed to inflation. Once you secure a mortgage, you can rely on consistent payments (if you have a fixed-rate mortgage).

A place to make your own. When you own your house, you can update your kitchen, paint your home’s exterior in any color you choose, change your fixtures, and replace your carpeting – all with the knowledge that the changes you make are your own.

Gaining equity. In the beginning, most of your payment goes toward interest. But gradually more will go toward paying off your principal, meaning you build up equity – or savings – in your home. Another factor in equity is appreciation. As home values go up in your area, so too does your rate of equity.

If you are thinking about buying a new home, contact Norma and her team today to get more information about the options available to you.