Just wanted to post this out there to see what helpful insight y'all could give since I know many of y'all have much more wisdom than I do in this field. My wife and I moved back here from NW Arkansas this past spring. Currently living in an apartment in McKinney and we're losing our minds being cramped up in there (we came from a rental house in NWA). Our original goal prior to moving was to buy a house in May of 2024. We're both young, have steady paying jobs and are wanting to stay in the N Dallas area (McKinney, Frisco, Celina and maybe Melissa). I know the interest rates are high right now, but I don't really expect them to go down much over the next couple years. No one wanting to sell/short supply of new builds are making things tough. Is it worth it to buy a house early next year and try to refinance down the road? I really appreciate any helpful tips because I don't think I can be cooped up in an apartment for another year.

Let your money work for you. What I mean by that is do you both have 401Ks thru work? If so and first time home buyers, depending on the 401K you can take out a loan for down payment, closing costs, etc. However, if your 401K is averaging 8% and your loan is anywhere under that then you are costing yourself money granted you have the cash for the down payment, closing, etc. 401K loans aren't right for everyone, but know and research your options.

Does your employer bank thru a credit union or offer employee benefits thru a credit union? I've found if they do and you do direct deposit to the credit union with a significant frequency I've never been able to beat their interest rates on home or vehicle loans. Also their closing costs have been cheaper by a long shot. Granted it's been a long time since I bought my first home, so some of this might not be true now. Just a couple of things off the top of my head.

If you have a year, you can also set a budget and pinch pennies to save more to buy down the interest on your loan. To me renting is ZERO return on your money and letting someone else earn equity off your money. Also there are tax benefits depending on your income as well. Last time I looked rates were 6-7%. Granted it's not in the 2s or 3s like before, but it's not terrible. If you buy smart, house should increase in valve in 3-5 years. Flip it and but in a nicer neighborhood, better school district, more land, etc until you get what you want. Meaning don't overbuy on your first home. Get in something to have your money working for you. Have a plan and keep working towards that plan until you and your wife are in or where you want to live.

Good look. I was frightened out of my mind when I purchased my first home, but I never regretted it one day.

House prices are not going to come down in those area

Buy now and maybe look at new builds

I paid 10% for my first house in 87, so the rates are not that bad, but a starter house is gonna be like 400 to 500K.

Our first mortgage in’91 was 12%. You can always refinance later. There are some builders offering 4-5% loans on new builds around here. May be able to find something like that in the area your interested in.

Move back to NWA...the land of milk and honey.

Seriously though...the sooner you buy, the better. Everyone is paying the higher rates right now, and you can always refi in 2 years if/when rates drop. I would suggest doing conventional loan with 20% down payment if you can swing it to avoid PMI.

Buy in the best neighborhood you can.

Renting is like throwing money away so you're planning your future correctly. I couldn't be jammed into the suburbs with houses all around but I understand you have to do what's needed for your careers. Frisco is going downhill so I'd be thinking about Melissa.

I don't see the difference in an apartment and a subdivision spec home 5' from another spec home

You're living on top of other people either way. Life is too short to live like that.

I`ll bet they don`t have those problems in Santo.

As long as you have your 20% down payment I would buy as soon as possible. Or at least start looking and be ready to jump on a good deal when you find one.

We bought our home in 2002 and the best rates were just over 7% at the time. A few years later we refinanced at 3% and didn’t add any extra time to the note. Rates go up and down over time so just refi when they drop again. Buying a home (especially where you are looking) is gonna be a wise investment.

This. Pick the neighborhood where you can find a "middle of the road" house -- not the best and not the worst. It will work out better in the long run

BUY BUY BUY

The best time to buy was yesterday, the next best time to buy is tomorrow.

It’s a buyers market in both resale and new construction homes.

Since January 1, 2023, I have saved buyers over $60,000 in out of pocket costs on closing fees. The deals are there.

BigPig knows what he's talking about. ^^^^^^


If you can get him to come out of retirement for an hour, Ramsey on this forum is an expert in all things home mortgage. (he might be bribable for BBQ and beer). Suspect he can refer you to a very good broker at least.

Buy one, and set it for a 30 year note. Pay extra if you can. If you cannot, you're not saddled with the payment of a 15 or 20 year loan.

I was 22 years old and single when I did that. 5.875% was the best I could do, at the time. It was terrifying. 30 years from then seemed like an eternity. I made the house better. I made the land better. I made the shop better. I sold it, after having it for 19 years. I worked for free for 19 years, until payday came all at once.

You have to live somewhere. Renting is throwing away money.

I would say yes.

Nope not yet. Unfortunately there's been alot of property bought and sold around here in the last few years, as I'm sure you know.

It's just as easy to make bank on a place with some actual privacy and a much higher quality of life. It's not just subdivision houses that are a good investment right now. The people who bought land the last few years aren't regretting it.

You have no idea what you're talking about.

I appreciate everyone's replies on here! Issue we run in to right now is not having the $ for a 20% down payment. A couple years out of college so haven't had time to save all that yet. I couldn't agree more with "renting is just throwing your money away" and that's why we're looking to buy. If not able to put 20% down, what type of loans would y'all suggest researching? FHA, etc. Melissa is probably still considered rural so maybe a RD loan? Thanks again!

The traffic is not going downhill. Whatever it is now will be worse tomorrow, it will be really awesome in 10 years.

Bet you can get some really good Curry though, or find a real nice Temple around there lol

A lost soul that only knows criticism.

"People" that live like ants in a giant mound are lost souls. I almost feel sorry for ya'll....

Melissa was mostly rural when I bought in 2002.

When I sold it in 2020, city was widely expanding. There are apartment complexes, tons of houses, retail, even a 4 story storage facility right on SH 121 now. Melissa is just another Collin County city.

I am extremely fortunate to have the best of both worlds. I'm sitting on the front porch of our ranch house, looking out and hoping the clouds can form something with moisture. Your single, monotonous theme of superiority is tiring to most on here. Lighten up Frances. And it's "y'all" (apostrophe's in the wrong place), and why did you put quotation marks around "people"? Do you not even consider them human?

What's the best of the other world? Traffic? Starbucks? Strip malls?

Thanks for the English lesson.

No