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Around The Lake

Discover All You Need To Know About Real Estate And Our Surrounding Communities



Foreclosure-Headlines
If you’ve seen recent headlines about foreclosures surging in the housing market, you’re certainly not alone. There’s no doubt, the stories in the media can be pretty...
Price-your-Home-Right-1
Last year, the housing market slowed down in response to higher mortgage rates, and that had an impact on home prices. If you’re thinking of selling your...
Housing-Market-Featured-Image
It doesn’t matter if you’re someone who closely follows the economy or not, chances are you’ve heard whispers of an upcoming recession. Economic conditions are...
What-Experts-Are-Saying-About-the-2023-Housing-Market
If you’re thinking about buying or selling a home soon, you probably want to know what you can expect from the housing market this year. In 2022, the market...
What-Are-Your-in-the-Housing-Market-This-Year
If buying or selling a home is part of your dreams for 2023, it’s essential for you to understand today’s housing market, define your goals,...
Key-Advantages-of-Buying-a-Home-Today
There’s no doubt buying a home today is different than it was over the past couple of years, and the shift in the market has led to...
Needs-Wants-for-todays-homebuyer
There’s no denying mortgage rates are higher now than they were last year. And if you’re thinking about buying a home, this may be top of mind...
Selling-in-Todays-Market-300x200
If you’re thinking about selling your house, you’re likely hearing about the cooling housing market and wondering what that means for you. While it’s not the...
Benefits-of-Multigenerational-Households
If you’re thinking of buying a home and living with siblings, parents, or grandparents, then multigenerational living may be for you. The Pew Research Center defines a...
Millennials-Are-Still-a-Driving-Force
If you’re thinking about selling your house but wondering if buyers are still out there, know that there are still people who are searching for a home...
Sell-Your-House-Before-the-Holidays
As you look ahead to the winter season, you’re likely making plans and thinking about what you want to achieve before the year ends. One...
Housing-Recession
Since the 2008 housing bubble burst, the word recession strikes a stronger emotional chord than it ever did before. And while there’s some debate around...
Close-Up Of Block With Question Mark Sign On Table
As the housing market cools in response to the dramatic rise in mortgage rates, home price appreciation is cooling as well. And if you’re following along with headlines...
Four-Things-That-Help-Determine-Your-Mortgage-Rate-Featured-Image-1024x683
If you’re looking to buy a home, you probably want to secure the lowest interest rate possible for your home loan. Over the last couple of years,...
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Rising interest rates have begun to slow an overheated housing market as monthly mortgage payments have risen dramatically since the beginning of the year. This is leaving some people...
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Today’s housing market is different than it was just a few months ago. And if you’re thinking about selling your house, that may leave you wondering what you...
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What Experts Say Will Happen with Home Prices Next Year Experts are starting to make their 2023 home price forecasts. As they do, most agree...
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If recent headlines about the housing market cooling and buyer demand moderating have you worried you’ve missed your chance to sell, here’s what you need to...
New-Homes-May-Have-the-Incentives-Youre-Looking-for-Today-1
According to the U.S. Census Bureau, this year, builders are on pace to complete more than a million new homes in this country. If you’ve had trouble finding...
Buyers-You-May-Face-Less-Competition-as-Bidding-Wars-Ease
One of the top stories in recent real estate headlines was the intensity and frequency of bidding wars. With so many buyers looking to purchase...
Why-You-May-Want-To-Start-Your-Home-Search-Today-1024x683
If you’re thinking about buying a home, you likely have a lot of factors on your mind. You’re weighing your own needs against higher mortgage rates, today’s...
Dining room in a modern kitchen
If you’re thinking about selling your house, you may have heard about the housing market slowing down in recent months. While it’s still a sellers’ market,...
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The desire to own a home is still strong today. In fact, according to the Census, the U.S. homeownership rate is on the rise. To illustrate the increase,...
Selling-Your-House-Your-Asking-Price-Matters-More-Now-Than-Ever-1024x683
There’s no doubt about the fact that the housing market is slowing from the frenzy we saw over the past two years. But what does that mean...



If you’re following along with the news today, you’ve likely heard about rising inflation. You’re also likely feeling the impact in your day-to-day life as prices go up for gas, groceries, and more. These rising consumer costs can put a pinch on your wallet and make you re-evaluate any big purchases you have planned to ensure they’re still worthwhile.

If you’ve been thinking about purchasing a home this year, you’re probably wondering if you should continue down that path or if it makes more sense to wait. While the answer depends on your situation, here’s how homeownership can help you combat the rising costs that come with inflation.

Homeownership Offers Stability and Security

Investopedia explains that during a period of high inflation, prices rise across the board. That’s true for things like food, entertainment, and other goods and services, even housing. Both rental prices and home prices are on the rise. So, as a buyer, how can you protect yourself from increasing costs? The answer lies in homeownership.

Buying a home allows you to stabilize what’s typically your biggest monthly expense: your housing cost. If you get a fixed-rate mortgage on your home, you lock in your monthly payment for the duration of your loan, often 15 to 30 years. James Royal, Senior Wealth Management Reporter at Bankrate, says:

A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise and other expenses may creep up, but your monthly housing payment remains the same.” 

So even if other prices rise, your housing payment will be a reliable amount that can help keep your budget in check. If you rent, you don’t have that same benefit, and you won’t be protected from rising housing costs.

Use Home Price Appreciation to Your Benefit

While it’s true rising mortgage rates and home prices mean buying a house today costs more than it did a year ago, you still have an opportunity to set yourself up for a long-term win. Buying now lets you lock in at today’s rates and prices before both climb higher.

In inflationary times, it’s especially important to invest your money in an asset that traditionally holds or grows in value. The graph below shows how home price appreciation outperformed inflation in most decades going all the way back to the seventies – making homeownership a historically strong hedge against inflation (see graph below):

So, what does that mean for you? Today, experts say home prices will only go up from here thanks to the ongoing imbalance in supply and demand. Once you buy a house, any home price appreciation that does occur will be good for your equity and your net worth. And since homes are typically assets that grow in value (even in inflationary times), you have peace of mind that history shows your investment is a strong one.

Bottom Line

If you’re ready to buy a home, it may make sense to move forward with your plans despite rising inflation. If you want expert advice on your specific situation and how to time your purchase, let’s connect.

April 27, 2022

How Homeownership Can Help Shield You from Inflation

If you’re following along with the news today, you’ve likely heard about rising inflation. You’re also likely feeling the impact in your day-to-day life as prices go up for gas, groceries, and more. These rising consumer costs can put a…