I’ve already discussed the pros and cons of both buying in the winter and selling in the winter, but it is also important to think about whether or not it is time to ditch the apartment for a house. If you are currently renting and have been thinking about buying a property, it might be time to ramp up your efforts.

Interest rates are still at all-time lows, but with the Federal Reserve ending qualitative easing, it feels like prime will move sooner, rather than later. And if that happens, you will see a significant shift in the 10-year treasury, meaning rates will start to jump. Meanwhile, house values are starting to come down, making it a perfect storm for getting in now, before rates jump or houses come up in value. Especially if you are a first time home buyer and don’t have to worry about selling a house.

But before you do buy a house, you want to be sure it makes sense for you. First, you need to be sure you either have a down payment, qualify for a loan which does not require a down payment (such as a VA loan), or qualify for a state program which offers down payment assistance. Next, you want to be sure you know where you want to live for the next five years. If you plan to move within that time, or if you are not sure you want to be stable for that long, it may not make sense to buy. Finally, you want to be sure you are ready to own a house. And what I mean by that is that you want to be sure you are ready for all of the responsibilities of home ownership; there is no longer a landlord to call to fix the problems.

But if you are seriously ready to buy a house and have the finances and credit to do it, this might just be the best time to pull the trigger.

If you have any questions about buying a house or getting a preapproval, please contact me. If you have anything to add about deciding whether to rent or buy, please leave a comment.