Trying To Buy a Home in Los Angeles or Beverly Hills, CA? Hang in There.
Trying To Buy a Home in Los Angeles or Beverly Hills, CA? Hang in There. | Christophe Choo at Coldwell Banker Global Luxury is Your Local Real Estate Expert
The housing market is still in a seller's market, which means buyers are facing some unique challenges, including difficulty finding a home and volatile mortgage rates. However, there are still some benefits to being a buyer in today's market that make it worth it to keep searching.
One of the biggest benefits of owning a home is that it grows your net worth over time. If you wait to buy and keep renting, you'll miss out on those monthly housing payments going toward your home equity. This is particularly important in areas like Los Angeles and Beverly Hills, where home values tend to appreciate over time. In fact, according to Zillow, the median home value in Los Angeles is currently around $1 million, and it's expected to increase by 9.9% over the next year. In Beverly Hills, the median home value is even higher at $3.3 million, with an expected increase of 9.1% over the next year.
Mortgage rates have been fluctuating over the last several months, but they've been coming down recently. This is good news for buyers because lower mortgage rates improve your purchasing power when you buy, making homeownership more affordable. As we move into the spring buying season, mortgage rates have ticked lower, a welcomed sign of progress towards affordability.
Home prices are expected to increase steadily over the next few years, according to the Home Price Expectation Survey. This means that waiting to buy a home could mean it'll become more expensive to do so. Buying now means the value of your home, and your net worth, will likely grow over time.
If you've been trying to buy a home in Los Angeles or Beverly Hills, don't give up. While it may be challenging, the long-term benefits of homeownership outweigh many of the short-term challenges. If you're feeling discouraged, working with a local real estate agent can help you navigate the market and find the right home for you.