The Surprising Truth About Bethesda Real Estate Prices and Interest Rates
Why Location, Location, Location Still Matters in Bethesda Real Estate
Is it Best to Wait Until Interest Rates Are Low To Buy a Bethesda House?
Have you ever thought about buying a house in Bethesda?
Here’s a Bethesda new home for sale on a 17,400 SF flat lot.
It can be a really exciting time, but it can also be confusing.
One thing that a lot of people think about when they’re trying to decide when to buy a new house is the interest rate.
You might have heard that if the interest rate is low, it’s a good time to buy.
But is that true? Let’s find out.
Interest Rates
The interest rate is the amount of money that a bank charges you to borrow money to buy a house.
If the interest rate is low, it means that you won’t have to pay as much money to the bank.
That might sound like a good thing, but it’s not always that simple.
New home questions? Schedule a New Home Strategy Call.
Low Rates and High Demand
Sometimes, when the interest rate is low, a lot of people want to buy houses. And when a lot of people want to buy something, the price usually goes up.
That’s what happened when the interest rate was low a few years ago.
Primer on the basics of new home mortgages.
A lot of people wanted to buy houses, so the prices went up.
High Rates and Lower Demand
But here’s the thing: when the interest rate goes up, not as many people want to buy houses.
And when not as many people want to buy something, the price usually goes down. That’s what happened a few years ago when the interest rate went up.
Not as many people wanted to buy houses, so the prices went down.
Can You Time the Bethesda Home Market and Interest Rates?
So, what does all of this mean for you? It means that timing the market based on the interest rate is hard.
It’s hard to know when the interest rate is going to go up or down, and it’s hard to know how that’s going to affect the price of houses.
Bethesda is a Desirable City
But there is some good news: there are some places where the price of houses doesn’t go up and down as much. These places are called “desirable cities.”
Check out this “desirable” Bethesda neighborhood.
One example of a desirable city is Bethesda, Maryland. Bethesda is a nice place to live.
It’s close to Washington, D.C., it has good schools, and there are a lot of things to do there. Because it’s such a nice place to live, a lot of people want to live there.
And when a lot of people want to live somewhere, the price of houses usually doesn’t go down.
In 2020, the median price of a house in Bethesda was $935,000.
That might sound like a lot of money, but it’s important to remember that the median price of a house in Bethesda has been going up for the past few years.
In 2018, the median price was $874,000, and in 2019 it was $899,000. This means that the market in Bethesda is strong and that the price of houses is probably going to keep going up.
When is the Best Time to Buy Bethesda Real Estate?
So, if you’re thinking about buying a house in Bethesda, now might be a good time to do it.
Here are the top Bethesda builders.
It doesn’t matter what the interest rate is, because the market in Bethesda is strong and the price of houses is probably going to keep going up.
Conclusion
In conclusion, timing the market based on the interest rate is hard. It’s hard to know when the interest rate is going to go up or down, and it’s hard to know how that’s going to affect the price of houses.
But if you’re thinking about buying a house in a desirable city like Bethesda, now might be a good time to do it.
The market in Bethesda is strong and the price of houses is probably going to keep going up.
Looking for a Bethesda building lot for sale?
We’ve been buyers of Bethesda real estate in high-interest rate or low-interest rate environments.
High demand. Inelastic supply. No one can time the market. Price pressure over the long run has been in one direction – up. And real estate is a long-term investment.
My bet, based on the last thirty years’ performance of my Bethesda real estate portfolio…
…Bethesda real estate will keep going up.
Sample of our plans
