Will home prices drop in 2023?
It is no secret that higher interest rates have slowed down the amount of buyers for the past few months, however most people are more concerned about the home prices dropping this 2023. We get asked this question many times throughout the week. Will home prices drop in 2023?
When I bought my first home I didn’t know what I know now in the real estate industry, however I knew that it was a far better decision to pay for my own property than to pay someone else mortgage or simply paying rent for a property that it was never going to be mine. The key here is to change your perspective about waiting for the perfect moment. I have a friend that has been waiting for the perfect moment for the past 15 years and still paying rent. Allow me to highlight that he is more than qualified to purchase a property. His incomes is great, his credit score is great, he has been working in the same industry for over 20 years and he doesn’t have much debts. His mentality has been that there will be a better moment, on the other hand I moved to USA and a year later I was enjoying the benefits of homeownership. I do not say this to brag, but to show you the need for us to switch perspectives. In order for us to change perspective we have to understand the difference between Assets & Liabilities.
What Are Assets?
An asset is any good used to generate cash flow, reduce expenses, or provide future economic benefits for an individual, government, or business. Assets contain economic value and can benefit an individual company’s operations or an individual’s net worth.
An asset is anything you own that adds financial value, as opposed to a liability, which is money you owe.
Examples of personal assets include:
- Your home
- Other property, such as a rental house or commercial property
- Checking/savings account
- Classic cars
- Financial accounts
- Gold/jewelry/coins
- Collectibles/art
- Life insurance policies
What Are Liabilities?
A liability is money you owe to another person or institution. A liability might be short term, such as a credit card balance, or long term, such as a mortgage. All of your liabilities should factor into your net worth calculation, says Jonathan Swanburg, a certified financial planner in Houston.
Examples of personal liabilities include:
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Auto loans.
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Student loans.
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Credit card balances, if not paid in full each month.
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Mortgages.
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Secured personal loans.
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Unsecured personal loans.
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Payday loans
If you would like to know more about the real estate market in Palm Beach County Florida or would like to know about other resources that can help you become a homeowner soon, feel free to contact us.
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