If you’re like many people, you’ve envisioned living in your dream home for years – but you’ve been waiting for the right time.
What about now?
Is it Time to Move Up to a Luxury Home in Naples?
Here’s the bottom line: If you’ve been waiting to find and live in your dream home in Naples, there’s no time like right now. Interest rates are at near-record lows, there are plenty of homes available on the market (both single-family houses and condominiums), and the opportunities available right now aren’t likely to stick around for long.
The point of buying your dream home is to enjoy it, so here are five reasons you shouldn’t wait any longer:
- Interest rates are low, but they’re not likely to stay this low for much longer.
- You can take the equity in your current home and apply it to the down payment for a new home.
- If your down payment is sizable enough, your monthly payments may not go up a significant amount – or at all.
- New homes are outfitted with money-saving technology.
- You can have everything you want in a home with plenty of time to enjoy it.
Here’s a closer look at each.
Reason #1 to Move Up: Interest rates are low, but they’re not likely to stay this low for much longer.
Check out the most recent trends in interest rates here; you can see they’ve been decreasing, overall, since 2019 – but as we shift to a post-pandemic lifestyle, most experts believe rates will begin rising again. Even a small decrease in an interest rate can make a huge difference in monthly mortgage payments and what you pay over the lifetime of a loan. Check out these two examples:
- If you buy a house with a 30-year fixed-rate mortgage at 6 percent interest, your monthly mortgage payment will be $3,410.
- If you buy a house with a 30-year fixed-rate mortgage at 6 percent interest, your monthly mortgage payment will be $3,845.
That’s more than a $400-per-month difference. Over 30 years, the savings are significant with a lower interest rate. That’s why, for most people, it makes sense to buy their dream house now – before rates increase.
Reason #2 to Move Up: You can take the equity in your current home and apply it to the down payment for a new home.
If you’ve lived in your current home for more than five years, there’s a good chance you have some pretty significant equity built up in it. In fact, because home prices are higher than they’ve previously been, you may have more equity than you think you do. The best way to find out how much your house is worth is to talk to a Naples real estate expert for a free comparative market analysis. Your agent can let you know what buyers are most likely willing to pay for your home right now.
Reason #3 to Move Up: If your down payment is sizable enough, your monthly payments may not go up a significant amount – or at all.
When you use the equity in your current home as a down payment on your next home, you’ll be lowering the amount you have to finance through a lender.
- If you finance $750,000 at 3.6 percent interest on a 30-year fixed-rate mortgage, your monthly payment is $3,410.
- If you finance $700,000 at 3.6 percent interest on a 30-year fixed-rate mortgage, your monthly payment goes down to $3,183. That’s what will happen if you put down $50,000.
- If you finance $650,000 at 3.6 percent interest on a 30-year fixed-rate mortgage, your monthly payment goes down to $2,955. That’s what will happen if you put down $100,000.
As you can see, the more you can put down, the more you’ll save every month. If your down payment is large enough, you may not even see your monthly payments go higher than what you’re already paying.
Reason #4 to Move Up: New homes are outfitted with money-saving technology.
New homes are built with energy-efficient, money-saving tech, and that means you’ll end up keeping more money in your pocket each month. Whether you slash your utility bills by a few hundred dollars or you save cash on security systems and other technology, buying a new home that’s designed for savings makes sense.
Reason #5 to Move Up: You can have everything you want in a home with plenty of time to enjoy it.
For most people, the main point in buying a dream house – one that’s outfitted with all the things they’ve always wanted – is to enjoy it. But unfortunately, most of us put it off; in fact, we often put it off so long that we have little time left to enjoy what we’ve worked for and wanted for so long. If it makes financial sense, it’s definitely time to move up and buy your dream house in Naples.
Are You Buying or Selling a Home in Naples?
Selling your home is a big deal, so you need to work with a REALTOR® who can get it right. We know how to market your home to all the right buyers, regardless of its price point. We’ll help you sell your home quickly and at the best possible price!
If you’re looking for a home for sale in Naples, we’re here to help. We specialize in luxury real estate and can show you any listing. In the meantime, please feel free to explore what’s available now:
- Pelican Bay homes for sale
- Homes for sale in 34102
- Homes for sale in gated communities in Naples
- Golf course homes for sale in Naples
- Aqualane Shores luxury homes for sale
- Old Naples homes for sale
- Homes for sale in Talis Park, Naples
- Park Shore (Naples) homes for sale
- Homes for sale in Moorings
- Condos for sale in Moorings
- Coquina Sands homes for sale
- Tiburon homes for sale
- Grey Oaks homes for sale
- Pine Ridge homes for sale
- Homes for sale in Pelican Marsh
You can also browse all Naples homes for sale.