As a homebuyer in Florida, finding the perfect home is just the first step. The sales price of the home is just as important as the home itself, and can have a big impact on your finances in the long run.
Let's take a look at the comparison between a home priced at $350,000 and another priced at $400,000.
Assuming you're financing your purchase with a 5% interest rate on a 30-year mortgage, the monthly payment for the $350,000 home would be about $1,878, while the monthly payment for the $400,000 home would be around $2,262. That's a difference of approximately $384 per month or $4,608 per year. Over the life of the loan, that adds up to an extra $138,240 in interest payments for the more expensive home. Plus, when it comes time to sell, if you buy a home for $350,000 and sell it later for $450,000, that's a profit of $100,000. However, if you buy a home for $400,000 and sell it later for the same $450,000, your profit would only be $50,000.
In Florida's competitive real estate market, it's important to work with a real estate agent who understands the local market and can help you find a home that is priced competitively. A knowledgeable agent can help you negotiate a sales price that works for your budget, and can also provide insight into market trends that can help you make informed decisions about your purchase.
At 14 Days To Close, we understand the importance of the sales price when buying a home in Florida. Our team of experienced agents can help you find a home that fits your needs and your budget, and can guide you through the entire home financing process. Contact us today to learn more!