Buying Highlands NC Real Estate, Cash or Mortgage?
Is it better to offer cash or secure a mortgage when buying Highlands NC real estate? It is safe to assume that anyone asking this question has the cash for a purchase. However, there is no correct answer. The answer depends on the overall cost of a home, the interest rate for a loan, and which is the wisest financial decision for you. An experienced Highlands NC REALTOR can recommend a reputable local lender with whom you can discuss your options.
Cash can make sense
As interest rates rise this is an easy answer, save money and put down the cash. A hike in interest rates can add a great deal of cost to a home purchase over the length of a home loan. When a buyer has the cash it might make sense to pay for the Highlands NC property with cash and then take out a loan when rates drop. When rates were historically low it was cheap to borrow money. In this scenario a buyer could free up cash to put toward other investments.
A mortgage is helpful, giving buyers the opportunity to keep some cash in the bank. Likewise, many buyers do not plan to keep a home for the long term and will not end up paying the full interest for the entire term of a loan. A reputable lender or financial advisor can help each buyer assess whether a mortgage is a wiser move than paying in cash for a Highlands NC home for sale.
Learn more about buying Highlands NC real estate
Contact me, Lynn Kimball, today to learn more about buying a home in Highlands NC. I welcome the opportunity to update you on the market while getting you started on your home search. Allow me the opportunity to recommend reputable local lenders to help inform your financing decisions. Let my knowledge and experience serve as your guide to buying Highlands NC real estate.
Click here to read “What Are the Pros and Cons of Buying a House in Cash?” from Realty Times.