Though it’s something that’s been flying under the radar, interest rates are likely to have the biggest impact on our market in 2019.
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As we look back on what’s happened so far in 2018, we’ve had many things positively impact our Augusta/Aiken metropolitan area. From the cyber command at Fort Gordon, to the Riverside Village in North Augusta, to the Augusta University Cyber Institute, to downtown Aiken redevelopment, our area’s been blessed to experience so many great developments.
What will have the biggest impact on our real estate market in 2019, though?
It could be interest rates. Rates are approaching 5%, and they’re projected to rise further to 5.5% next year. On a $200,000 mortgage, that increase means you’d have to pay an extra $100 per month.
This is why if you’re thinking about buying or building a home, we recommend that you shop for and lock in your interest rate now. We work with lenders who allow you to lock in a lower rate now while you search for your perfect home so you still have that rate when you close on your that home before tax season hits next year. If you plan on building a home, you can also lock in a low rate now and close on your home by mid-year next year.
Rates are approaching 5% and they’re projected to rise further to 5.5% next year.
If you’re thinking of selling, you’d be wise to pay attention to interest rates as well. As rates go up, buyer activity could go down, so you might want to consider moving up your timeline by three to six months.
I can’t believe we’re approaching Christmas already, but I’m excited about 2019. If we can help you buy, build, or sell a home, or if you have any questions about our market, don’t hesitate to reach out to us. We’d love to speak to you.