Found a nice house, top of our price range, but requires us to move from our low priced starter home. The economy seems like a mess and economics was never my forte. Is it a bad decision to try to move up given current trends?
Found a nice house, top of our price range, but requires us to move from our low priced starter home. The economy seems like a mess and economics was never my forte. Is it a bad decision to try to move up given current trends?
Depends. First, if you need financing, it’s probably not a great time to buy although if things ever get sane, you can refinance. The interest has been high. If you can buy outright, though, that’s a non-issue.
Second, it depends on where you get your income. Some sectors are shakier than others. Rely on public contacts? Avoid. Healthcare? Probably fine. Tech? No idea, probably a bad idea. If you might get replaced tomorrow, do not finance a home.
Lastly, consider where. You don’t want a place that’s going to be hazard prone with global warning. Places are priced accordingly but if your home ends up flooded, set ablaze, or lifted to another location by a hurricane, probably not a great idea. There won’t be enough public support to make up the loss.
I’m personally holding down my starter home but I had to buy points to pay down interest to meet a debt ratio, and my math suggested 8 years to make that a net gain. But the above reasons have factored into my holding back.