Blog Buyer With interest rates rising, is now still a good time to buy?

With interest rates rising, is now still a good time to buy?

By Jessica LeDoux, September 30, 2022

This is the big question on many buyer minds right now. While interest rates have risen considerably, this does not equate directly to it being a bad time to buy. It all depends on your circumstances and perspective. 
 
If you are deciding to buy vs. rent, buying a home may still be a great option. Purchasing a home can have the advantage of providing security/stability and if financing your home, it will allow you to spend your monthly payment toward an investment you can see a return on in the future. You will also be creating an opportunity for building equity as home values increase over time. Markets will eternally fluctuate. If you buy smart (prioritizing your needs around the unchangeables of a home – location, layout, etc.) and intend to hold your investment for some time (5+ years), riding the waves of the market is much more feasible and most importantly, you can enjoy the home you love in the meantime. 
 
Rates are high, that’s undeniable, but it’s also important to keep in mind that current rates are in keeping with historical averages. (Interest rates since 1971 average in the mid 7’s.) 
 
The climbing interest rates have put downward pressure on pricing, which we see evidence of in increased opportunities at all price points. This can look like: more room to negotiate, an opportunity to come in closer to or below list, less aggressive terms, and with a decreased number of buyers in the market, less competition. However, there are still a good deal of motivated buyers in the market and we are still seeing competition for highly desirable homes.
 
Most homeowners refinance their home in the first 3-7 years. The rates today are not something you have to view as a marriage, but the home you buy is. Higher interest rates are just one factor in the process of deciding whether now is the right time to buy for you. 
 
As Real Estate professionals, we aim to help each client elevate all questions by providing more perspective and information on the options available to them. The result is a more informed decision no matter the outcome and this team excels at supporting people in that process.  We are here to help.

Jessica LeDoux

Broker | OR

She/Her

JESSICA LEDOUX Licensed Broker Lead Buyers Agent Oregon is where Jessica’s heart lies. Born and raised in Portland, Jessica grew up in Concordia and bought her first home in North Portland in 1996. She was seduced by the front porch of a 1920’s bungalow and as a young 20 year old there were so many factors she did not know to take into consideration when choosing her home. After 5 years of restoring the home, it was time to move and the seed had been planted – her love of restoring homes was born. It took a few more projects and years for her to make the choice to enter Real Estate. In 2006 she got her license and set out to empower people with information and encourage inquiry beyond the basic needs in a home, which was something she wished was provided to her when she bought her first home. As her Real Estate career developed she found joy in helping buyers the most, which led her to specialize in buyer representation. Jessica loves helping buyers consider all angles, future needs, and possible roadblocks in a home. Her goal is to empower a buyer with choices and to consider the unchangeable elements of a home to better ensure many years of happiness in their new home. Buying right is the most important factor to protecting your investment and she takes this very seriously, which is why helping buyers eliminate homes in order to get to the right one is her top priority. She believes wholeheartedly in the power of investing in real estate. She brings this wealth of technical housing knowledge, intimate familiarity with the city, and investment experience to her counsel for homebuyers, but it is her commitment to buyer advocacy (and seeing the impact this has on people's lives) that most inspires her and has kept her engaged and in love with her job after all these years.   Jenessa V.  Licensed Buyer Team Operations Manager jenessa@livingroomre.com  When I first joined our team in 2019 I had been feeling dispirited about real estate. I'd been a realtor for several years and had a strong desire to find increased meaning within an industry that didn't always reflect my values. The thing that kept me returning to real estate despite this was the zing of happiness I felt when I helped clients through the home-buying process and witnessed them on the other end having accomplished a dream or otherwise empowered. To me, the role of a realtor is one of stewardship. I am proud to be on this team because the level of informed honesty, ethical counsel, and all-around excellence we offer is truly unparalleled in this industry.  Working as the Operations Manager on our buyer team means I get to focus on all my favorite parts of the job. I'm hyper-attentive to detail and delight in tending to nuance; transparency and communication are critical. If you are at ease knowing the train is running smoothly and if I answer your questions (maybe even before you've thought of them), then I've done my job well. I'm an introspective person and I view my sensitivity as a strength. I enjoy listening and taking the time to thoughtfully respond so we can move through the home buying process with intention together. I think searching for a home is about identifying your fundamental values and assessing how the decision you make about where you live can best support the life you want to lead.  On the more personal side, when I'm not working I'm probably writing or thinking about language. Give me a stack of good books and I'm happy. I'm a creative thinker and a maker - I love great design and discovering new outlets for expression. I don't ever want to stop learning. Putting my hands in dirt is just about the most invigorating thing I can think of and my little garden is my sanctuary. I like to dance at home so free that it makes other people laugh. I love to sing. I freaking love my family.   Branda Tiffany Licensed Buyer Team Assistant  branda@livingroomre.com  Branda grew up in the neighboring state of WA and has a deep love for the PNW. After moving to the east coast for a brief time in the early 2000s, she settled in Portland and has felt at home since day one. This city has embraced her entrepreneurial nature and allowed her to grow both personally and professionally. Branda has been a small business owner for over 20 years and has learned invaluable lessons along the way. Her experience has instilled high-level problem-solving skills and a "reach for the stars" mentality. Moving into real estate was a natural progression, and one that she is passionate about. Branda brings a sunny, positive attitude to life and work, and puts this to use for her clients every day. She is an incredible communicator and intuitive advocate. In her free time, you may find Branda walking in the park with her pup, exploring new places around Portland with her husband, or curling up with a good book.
   

KARIM ALAEDDINE

KIM PARMON

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  • T: 503-310-5816
  • Jessica@livingroomre.com

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