Recently I shared with you 5 Reasons Why You Should Buy a House Now. At least some of this information was shared with me directly from an expert in the financing field, but all of the reasons that I provided are based on the concept that time is of the essence.
The first deadline that provided a rise in PMI rates has already passed on April 1, 2013. The second important deadline that is still to come falls on June 3, 2013. After that time, FHA loans will be required to carry PMI for the entire life of the loan (i.e., for most mortgages, that means 30 years). Between recent increases in PMI rates and this upcoming policy of PMI forever, that means extra expense for a homebuyer and less house value for your money.
When you consider the concepts of rising interest rates, rising home prices, and the previously mentioned PMI factors, time is indeed of the essence if you are planning to purchase a home or refinance your current home. Few feelings are worse than the sinking one that you get when you miss an important deadline and you realize the full adverse effect of doing so.
DailyWorth has a great example of a refinancing situation where time was of the essence both in a way that the writer was aware of, as well as an unforeseen way that they really ended up lucking out on. Although some of us many never have to worry about facing a hurricane as the writer did, there could be other both foreseen and unforeseen scenarios that should encourage us to avoid procrastinating any further.
You do not want to be in the position to look back and regret your previous inaction. There have been so many times where either I have looked back and been really grateful that I did something financially when I did; likewise, there have been times that I have cursed my prior procrastination for not accomplishing something that needed to be done in a timely manner.
Are you considering purchasing or refinancing a home? What makes you want to do it now versus later? What is causing you to delay doing so? Please share your thoughts on home financing with us by commenting below.
