Today we are seeing more evidence that the COST of a home in the Charleston AFB area, has in fact hit bottom. Unless you are an all cash buyer, you must take into consideration the expense of financing a property to determine the true cost of purchasing the home. Interest rates have increased over the last quarter; and the rise in rates has counteracted any fall in prices.
For example:
In November 2010, the interest rate was 4.17%. So a $200,000 Charleston AFB home would have cost you $974.54 per month (principle and interest).
According to the most recent report from Case Shiller, house prices fell 3.9% in the 4th quarter of 2010. The most recent report from the Federal Housing Finance Agency shows a 0.8% fall in prices. Let’s use the larger percentage decrease: 3.9%.
Today, let’s say the same house as above is now priced at $192,000 – but the interest rate is now 4.95%. – SO your monthly payment will now be $1,067.54 (principle and interest).
By waiting to pay less for the PRICE of the house, the COST increased $93 a month. That adds up to $1,116 a year and over $33,000 over the life of the loan.
Bottom Line
If you want to buy low, buy now. It appears COST has hit its lowest point.**Information provided by the KCM Crew via www.KCMblog.com**
Buying or selling a home doesn’t have to be hard, but choosing the right Realtor DOES make a difference. I specialize in making first-time home buying a great experience for military families moving to the
Jodie Hurt
I specialize in helping military families enjoy a smooth PCS in and out ofCharleston
I specialize in helping military families enjoy a smooth PCS in and out of
