Why Now Is the Perfect Time To Upgrade to Your Dream Home

If you've been thinking about selling your current home to upgrade to something bigger or more luxurious, you're not alone. In fact, many homebuyers today are driven by the desire for more space or to move into an upgraded home, according to a recent survey by Inman.

But, like many others, you might have hesitated due to the recent ups and downs in the housing market. Concerns over rising home costs and fluctuating mortgage rates are understandable, especially if an upgrade could lead to higher monthly payments. The good news? Despite these concerns, now might actually be the best time to make that move. Here’s why.

1. You’ve Built Up Significant Equity

One of the biggest advantages in today’s market is the equity you’ve likely gained in your current home. Over the past few years, home prices have grown consistently across the country, which means many homeowners now have substantial equity at their disposal. As Selma Hepp, Chief Economist at CoreLogic, points out, the average homeowner has gained around $129,000 in equity since the start of the pandemic.

What does this mean for you? That equity can be a powerful tool, especially if you’re planning to move up. You can use it toward the down payment on your new home, potentially reducing how much you need to borrow and keeping your monthly payments more manageable. If you’ve been in your home for several years, you might be surprised at how much equity you’ve built up. Talk to a real estate agent about getting a professional equity assessment to see where you stand.

2. Mortgage Rates Are Easing, Boosting Affordability

Another big factor working in your favor is that mortgage rates have started to ease. When rates drop, your monthly payments become more affordable, giving you more purchasing power. As Nadia Evangelou, Senior Economist at the National Association of Realtors (NAR), explains, lower rates mean you’ll pay less in interest over the life of the loan, which could make homes that were previously out of reach more affordable.

This increased affordability opens the door to more options when shopping for your next home. A trusted lender can help you understand how these changes affect your budget and how much home you can comfortably afford with current rates.

Bottom Line

If upgrading to your dream home is something you’ve been considering, now could be the perfect time to act. Between the equity you’ve built and falling mortgage rates, you’re in a strong position to make that move more achievable than you might think.

Ready to take the next step? Let’s connect to discuss how you can leverage today’s market and make your dream home a reality.