How rich homebuyers are avoiding high mortgage rates

Luxury housing markets in New York and Florida are boasting near record-high shares of transactions paid in cash, according to first quarter data from real estate appraisal and consulting firm Miller Samuel Inc.

All-cash transactions are on the rise across all price points. The share of all-cash purchases in the US in the first quarter of the year was a monthly average of 31%, according to data from the National Association of Realtors . That matches the highest monthly average for any full year since 2013. And in Miami Beach, the all-cash market share for luxury condos — sold on average for $6.5 million — hit a fresh high in the quarter.

But there are some advantages to buying now with cash. Both Miller and Teplitzky expect prices to continue to go up, especially if mortgage rates moderate, so buyers now are getting a better deal than waiting for later. While affluent buyers are more likely to have the financial wherewithal to pull off an all-cash deal, these types of transactions are becoming more common in lower price ranges as well.

Loans Loans Latest News, Loans Loans Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Huge Number Of Would-Be Homebuyers Waiting For Interest Rates To DropErin Nicole Davis is a born and raised Toronto writer with a passion for the city and its urban affairs and culture.
Source: storeyspub - 🏆 16. / 74 Read more »

Mortgage Rates in US Increase for Fifth Week, Hitting 7.22%Mortgage rates in the US climbed for a fifth week, ratcheting up the pressure on homebuyers.
Source: BNNBloomberg - 🏆 83. / 50 Read more »