Is It a Good Time To Buy a Home in Nashville?

For sale house sign

With mortgage rates in the Nashville area finally dropping from 2023, you may be asking yourself, “Is it a good time to buy a home?” While mortgage rates aren’t the only thing you should be considering—home prices and personal finances also play a large role in the decision to buy a home—they are a large factor for many individuals. The decision of whether or not now is the time to purchase a home is personal and may differ on a case-by-case and person-by-person basis.

Read on to discover a few other factors that may indicate that now is the right time for you to buy.

Your Personal Circumstances Are Changing

Personal circumstances are often the most important factor when determining if it’s the right time for you to purchase a home. For example, if your family is growing or you plan to take in older relatives, you may wish to invest in a larger space. If you want to reduce your monthly costs or you want to downsize due to age, it may be the right time to move into a more manageable space.

If your personal circumstances are changing, it makes sense to consider moving into a home that better suits your needs and accommodates your family.

Your Finances Are in Order

A strong credit score and down payment are key to investing in a home. Your credit score will impact what kind of mortgage rate you receive, as it demonstrates what kind of risk you are as a borrower. The higher the score, the lower the risk. As for a down payment, a larger amount will help you borrow less and save more in the long run. Large down payments also indicate to lenders that you are a safe investment.

Ensuring that you are in a good financial position before entering the real estate market can lift some stress off of your shoulders. Establishing your budget for a home will be helpful as well; sites like Nerdwallet offer free calculators to help you determine how much you can afford.

Mortgage rates may have a strong impact on what your personal finances need to look like in order to purchase. While you may be able to secure a lower mortgage rate with a high credit score, the market also has strong influence over mortgage rates. Many lenders now offer “rate buy down” programs that can assist you in getting into the home you need. Waiting on mortgage rates to change may lead to you missing out on just the right home or may mean you end up paying more in the future as home prices rise.

Purchase Your Dream Nashville Area Home Today with Harpeth Valley

If you’re ready to purchase a home or townhome in the Nashville area, Harpeth Valley Homes is here to help you. From Shelby Green or Lockewood in East Nashville to Ridgecrest at Riverwalk in Bellevue (west of Nashville), we have plenty of housing options for you to choose from. Also, we have an incredible new townhome community coming soon north of Nashville at Nearwater Place in Hendersonville! Contact us today to get started on your home-buying journey.