Tag Archives: Bothell Homes for Sale

Can I still buy a home with rising interes t rates?

The Real Deal on Rising Rates: What It Means for Your Home-Buying Plans

rising_interest_rates

You’ve taken all the necessary steps to get ready to buy a home. You’ve saved for a down payment, improved your credit score, got all your financial documentation in line, and figured out what price range you can afford. And then the interest rates went up. Is your dream of homeownership now unachievable?

According to recent data from realtor.com®, the share of first-time buyers planning to buy a home this spring fell sharply when mortgage rates began to rise toward the end of 2016. According to realtor.com®’s January survey of active homebuyers, 44 percent of buyers planning to buy in spring 2017 are first-time buyers. This has dropped significantly since the survey was conducted in October, when 55 percent of buyers planning a spring purchase indicated they were looking for their first home.

However, with inventory shortages and rising home prices, the urgency to buy now has never been greater. So before you shelve your plans for buying a home this spring, know the facts about rising rates and home prices.

The average 30-year conforming rate rose to more than 4.2 percent by the end of December 2016 from 3.4 percent at the end of September 2016. With average rates today about half a percentage point higher than they were in 2016, a median-priced home financed with 20 percent down would cost an additional $720 per year in added interest. That equals more than 1 percent of the median household’s income.

With affordability being a top concern for first-time buyers, a rising interest rate can be enough to scare you off. Kiplinger’s expects the 30-year mortgage rate to reach 4.6 percent by year’s end, with the 15-year rate at 3.8 percent. Add to that the continued increase in home prices due to low inventories in many parts of the country and you can see that holding off on a home purchase will probably only cost you more down the line.

Take a cue from repeat homebuyers who are actually being spurred into action by rising rates. Even with the current increases, interest rates remain historically low, and the movement in rates hasn’t yet tipped overall buyer demand down. Experienced buyers, in fact, are trying to close before rates increase further, as evidenced by increased realtor.com® listing views and decreased inventory. In the short term, the rate movement seems to have encouraged, rather than dampened, overall demand.

While concerns about affordability are valid, waiting may not help your long-term financial picture. Instead, consider looking for a home in a slightly lower price range, finding a way to increase your down payment, or looking in a neighborhood that may be more affordable. The good news? In today’s competitive market, your home will most likely increase in value and prove to be one of the smartest investments you could’ve made.

For more information about how rising interest rates will impact your home purchase, contact me today. 206-276-3289

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Dodge Winter Lawn Damage

Dodge Winter Lawn Damage
Winter conditions can present a wide range of challenges to your lawn and landscape, but there are precautions you can take to protect your lawn, as well as your trees and shrubs, from seasonal harm.

Preventive steps from the lawncare experts at TruGreen can help your lawn survive the winter season’s harsh elements.

Snow Plow Damage

Install brightly-colored boundary markers along the edges of paved areas to help protect lawn and shrubs from snow plow and snow thrower blades. Lightweight wooden stakes, at least four feet tall with bright reflective tape and brightly covered fiberglass rods, serve as good markers. Avoid heavy metal, fence posts and other large objects, as they can pose a hazard to snow plow operators.

Cold Temperature Stress

More so than any other season, trees and shrubs are vulnerable to changing weather conditions during the winter. Wide temperature fluctuation and extremely low temperatures are the biggest factors of tree stress, meaning your trees are more susceptible to things like frost cracks, sunscald and winter burn.

Keep twigs and limbs from breaking under the weight of ice by carefully brushing away, whenever possible, any snow load from plants, which will reduce the weight on the limbs and decrease the damage. Placing a burlap cover around shrubs such as boxwood and yews will help reduce winter desiccation.

Proper fertilization can help keep your trees and shrubs healthy well into spring, and allow them to better tolerate winter. A service can help with tree and shrub services customized to meet your landscape’s every need, including applications to control overwintering insects, pests and mites.

Freezing Temperatures

Damage to plants, shrubs and trees as a result of sustained low temperatures can typically go undetected until spring or early summer, when plants fail to produce new growth. To help prevent damage, maintain a two- to three-inch layer of mulch to help protect the crown and roots from weather extremes.

Winter Dehydration

During the colder months of winter, plants cannot replace moisture lost from leaves and needles. This leads to “dehydration” – technically known as desiccation. To help avoid this problem, maintain proper watering late into the fall, or water during periods of winter thaw.

Ice Melt

Ice-melting agents, such as rock salt and products containing calcium and magnesium chloride, may accumulate in the soil and cause damage to plants. Use extreme care when applying ice-melting agents to prevent damage to your plants or concrete surfaces.

Source: TruGreen.com.

Reprinted with permission from RISMedia. ©2017. All rights reserved.