First-time homebuyers are likely to face more industry headwinds as mortgage rates and homeownership costs skyrocket in today’s economy. Mitch Roschelle, managing director at Madison Ventures+, said "it couldn’t be a worse time of year" as mortgage rates hit their highest level since November. "The timing is awful," Roschelle stressed during his appearance on "Varney & Co." Thursday. "There is a little bit of supply on the market.
Hidden homeownership costs are also being subjected to the wrath of inflation."Insurance is a huge issue. Property taxes are going up all over the place. So, these are real costs," Roschelle stressed. The real estate expert told host Stuart Varney that homebuyers are not beside themselves as landlords are feeling the heat of rising costs. "If you own apartments, and you rent them out, you have the same issue with property taxes. You have the same issue with insurance.
As the challenges continue to brew within the housing industry, Roschelle suggested that buyers change their perspective when going into the turbulent market. "I’m always asked, ‘when’s a good time to buy a home?’ And I still fundamentally believe that prices are going to go up," he told Varney.