Your 2023 Resolution: Buy Your

YOUR 2023 RESOLUTION:

BUY YOUR DREAM HOUSE!

BY CLAUDIA MUNDLOS

It’s hard to believe that another year is almost over and that our trip around the sun seems to go faster and faster. 2023 is nearly upon us and each year brings new resolutions. So why not make 2023 your year to buy that dream house?

Whether you are a first-time home buyer, thinking of downsizing, or need more space, you might have been watching the news or listening to podcasts about the housing market and thinking, but interest rates are so high. And it’s true. Interest rates are the highest we’ve seen in nearly 20 years, but there are good reasons not to let that scare you off.

First, let’s remember the buying whirlwind of the past two years that sent home prices skyrocketing. Now that this frenzy has ended, there are more homes for sale and more opportunities for buyers to negotiate the terms of purchasing their dream home (and there are so many factors to consider other than interest rates alone). There is a real estate expression that will always ring true: the best time to buy is yesterday. While home prices are finally starting to level off, they are still appreciating year over year, especially here in Sanford and the Orlando metro area.

If interest rates are still holding you back, there are a few options you can consider. If interest rates continue to rise, you’d be happy to have locked in today’s rate, and if interest rates fall, you can always refinance at the lower rate, all while earning that value appreciation and sitting pretty in your dream home as opposed to renting and paying off someone else’s mortgage.

There are also many newer loan programs available to help buyers get their initial interest rates down, like the 3-2-1 buydown. This works by offering a lower initial rate for the first three years. The first year you would get an interest of three percent less than the market rate you qualify for; the second year would be two percent less and the third year would be one percent less. After the buydown period ends, the lender will charge the full interest rate for the remainder of the loan period. This program offers an easier transition and lower payment to get you into your dream home. Many builders offer programs just like this and since Sanford has a lot of new construction going on (over 70 new and to-be-built homes are available as of November 2022), you definitely have some great options here. Plus, there are often other incentives available, so it’s worth taking a look.

If interest rates aren’t your concern, and you are worried about how to save 20% for the down payment, USDA loan programs for first-time home buyers are also available that offer zero percent down payment options. And there are new programs available to assist healthcare workers, teachers, and first responders with their dream of home ownership. Last but not least, there is a new rent-to-own program available to home buyers who are not quite ready to buy. The program enables them to move into their dream home while working on their credit and saving for a down payment.

With more homes available for sale, interest-rate buydown loans, zero down payment options, and rent-to-own programs, there is no reason to keep sitting on the sidelines dreaming of your new home. Make 2023 your year for a new home! n

We are proud to call Sanford home and as local Realtors with 30+ years combined experience, we hope that one day we will be able to help you and your family with all your real estate needs. Meanwhile, we invite you to explore MovingToSanford.com and stay informed on all things Sanford at Claudia's blog Sanford365.com. See you around town!