There are many people out there who debated purchasing a home over the course of the last year, but ultimately did not. Whatever their reasons were for delaying, let’s look at whether the decision to wait to buy made sense.
What happened in 2014?
The 30 year fixed rate on January 2, 2014 was 4.53% as reported by Freddie Mac. Looking at the chart below, your monthly mortgage payment with principal and interest for a $250,000 home would have been $1,271.17.
So that same home appreciated by $12,000 and now costs $262,000. The most recentreport by Freddie Mac reports the average 30-year fixed rate is currently 3.73%.