November 22, 2020 at 4:56 pm EST | by Jeff Hammerberg
High housing prices and low mortgage rates
COVID-19 housing market, gay news, Washington Blade
Low inventory and favorable mortgage rates have meant that in many markets, sellers are receiving top dollar for their homes.

While 2020 has been a difficult year in many ways, it has had its share of silver linings. Certainly, for LGBTQ sellers, the market has been more than favorable – in fact, it’s been booming. Lower than usual inventory and favorable mortgage rates have meant that in many markets across the country, sellers are receiving top dollar for their homes. This year has also provided great opportunities for those looking to refinance their homes at lower interest rates – and for buyers who want to purchase a home with a mortgage at rates that are some of the lowest they’ve been in years.

Of course, some buyers see this latter fact as somewhat of a double-edged sword – true, the interest rates might be low – but often, the costs of homes are high. Sometimes, they are significantly higher than they’ve been in recent years. As a result, many buyers are asking – is the benefit of purchasing a home at a low-interest rate worth the trade-off of perhaps paying more for the home itself when you buy it? It’s a good question and one that is certainly worth consideration.

Certainly, low mortgage rates are an excellent incentive for buying a home. There’s no question about that. And when one considers low mortgage rates the savings truly have to be considered over time. Although you may purchase a home at a price perhaps $10,000 or $20,0000 more than you would pay in a non-seller’s market, you may easily recoup that money and more throughout the time that you own the home. It’s important to realize that low mortgage rates are only one piece of the pie to consider when trying to decide whether purchasing a home is a sound financial decision for your family. After all, there are a multitude of other benefits that come with home ownership as well. Let’s take a look at a few:

Building equity: Without question, as a homeowner, you will build equity faster when interest rates are lower. Even if you don’t receive the lowest possible interest rate, however, it is wise to remember the fact that you’re still going to be building equity with every mortgage payment you make. Unlike paying rent where you realize no return on your monthly payment, with every mortgage payment you make, your own a little more of your home – and that is an investment that is typically well worth making.

Tax deductions: Unlike those who rent, those who own their own homes receive significant tax benefits each year. Specifically, owning your own home means that you are often able to deduct interest and property taxes paid each year, which can result in significant tax savings over the course of the time that you own your home. Additionally, if you ever decide to refinance your home after building up sufficient equity, you can open a home equity line of credit, which is also tax-deductible.

Predictability: When you own your own home and have a fixed mortgage rate, you are generally able to predict and plan for what your monthly housing costs will be from month to month and year to year. While you may have fluctuating utility bills depending upon the season, and occasional unexpected repairs, you can generally predict what your monthly housing costs will be, as opposed to a situation in which rental prices may change suddenly and sharply depending upon the housing market in your area.

Intangible value: The truth of the matter is that sometimes in life, there are things that you simply can’t put a price tag on. Much of what is appealing about homeownership falls into this category. The home is more than four walls and a roof – it is a place to make memories – a place to make your own. A place to share life’s ups and downs with the people that you love most. When you own your home, you are truly able to make it your own. You can add the personal touches that truly make a house a home. Renting often doesn’t offer that same opportunity.

If you are ready to buy or sell a home, there’s no denying that it’s a big life decision. When you make a big decision like that, you want the process to go as smoothly and as successfully as possible. That’s where we come in.

At, it is our purpose and our passion to help LGBTQ home buyers and sellers across the country have the best possible real estate experience. We achieve this by pairing you up with agents who know and love their communities and can help you with every step of the homebuying process. We would be honored to have the opportunity to help you too. Give us a call today. We look forward to helping you soon.

Jeff Hammerberg is the Founder and CEO of Reach him at 303-378-5526 or [email protected].

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