Why will a new home be a smart investment in 2016?

Why purchase a home in 2016?

The new year is just a few days away, which means now is the time people all over the country are coming up with ways they can improve their lives over the course of the next 12 months. If purchasing a new home happens to be on your list, it is important to know that 2016 will be an excellent year to make that investment. Why is this the case? According to experts, there are a number of reasons.

One of the major forces behind this is that interest rates are still at record lows for potential homeowners. A 30-year fixed-rate loan now hovers around 4 percent, significantly down from historic levels. While prices are still high in some markets across the United States, the savings in interest payments can easily save a homeowner hundreds of thousands of dollars over the course of a mortgage.

If a potential homeowner decides to put down less than 20 percent on a home, mortgage insurance is required in case a default happens. A loan from the Federal Housing Administration — a government mortgage insurer — has fees that range from less than 1 percent to just under 2 percent. If a homeowner funds this way, their monthly mortgage payments will be significantly lower.

As the leading provider of web-based property valuation solutions, e2Value can assist you with all of your Insurance-to-Value (ITV) and collateral value monitoring needs. Whether you are looking for valuations for high-value homes, mainstreet homes, condos, co-ops, commercial properties, manufactured homes, log cabins, or farms and ranches, our patented estimator can quickly calculate the cost of replacing a residential, commercial or farm structure, and provide you with a fast, cost-effective and accurate replacement cost valuation.