Page 14 - July 2022 Issue.indd

The answer is a definite yes because you have to live somewhere.
Buying or Selling? And unless you can live somewhere without having to pay rent,

you are much better off owning instead of renting, especially
when rents are so high and options of where you can live are so
limited. Over time, making a monthly payment that will build
equity in an asset is a much better investment than paying to
live on someone else’s property.
I’m the KEY No one knows exactly where real estate prices are going;

projections are for them to level off that I believe we are starting
to see happening now. No one knows where interest rates
to your next are going but the consensus is that they are not going down
anytime soon. If we accept these two factors as being true, what
happens if we do buy, and real estate values start to drop and
HOME rates continue to increase?
The answers are obvious. If the value of your home goes down,

then stay where you are. Even though the value has gone down

on paper you do not suffer a loss unless you sell. So, to avoid
losing money, don’t sell your house and stay where you are.
While you do, guess what? You have to live somewhere. If you
stay there long enough maybe the values will come back.
Ask some of the purchasers of new homes in Lister Estates,
Mallard Landing, Savannah Overlook and Trice Meadows.
Prices in those subdivisions dropped 30-40% in 2007 and 2008
and are just now getting close to what they sold for originally in
the early 2000’s. In the meantime, you have to live somewhere.

Interest rates may continue an upward climb to levels that
make 5.5% look good. If you buy now, you lock in a rate lower
Amy Endzel, Realtor than what it may be two, three or maybe six months from now.
Direct: 443-786-5189 Nobody knows how high they will go. But what if rates do not
Office: 410-972-4000 continue going up and go back down?

You can always refinance to a lower rate assuming the value
amyendzel@kw.com of your home does not decrease below the balance of your
homesontheshore.kw.com mortgage. Do you have any idea how many people have

refinanced their mortgage in the last year and a half... Millions!
Don’t let the recent uptick in mortgage rates deflect you
from your goal of owning your first home, as long as you feel

comfortable with a proposed payment. Make sure you are
looking at all your available fi nancing options for which you
are eligible. HINT: Rocket Mortgage does not do USDA loans.
Teachers & School Staff Make sure you take advantage of working with a realtor. Th ey
will be able to monitor the market better than you for available
homes and give guidance on specifics of your off er.

Ask me for details on how I'm If you are not comfortable with rates and payments at current
interest rates, then by all means step back from the market.
giving back to the teachers and
If payments at current interest rates are manageable, keep
school staff that I have a privilege looking. Prices are moderating and I predict we will have fewer
of working with in 2022! houses selling over list price and may see homes start to sell at
less than list prices as sellers’ expectations moderate.
Let me help you! Mr. Rowe is Vice President/Lending for Bay Capital Mortgage
Corp. with offices in Easton and Annapolis. He has lived in
Caroline for his entire life and supports the county by volunteering
in a variety of ways. He currently lives near Greensboro with his
wife Jeanne and daughter Kelsey.
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