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  • Writer's pictureCorynne Lindemann

Should I Buy?

Navigating this changing real estate market has been a challenge for buyers and sellers. So many people are getting scared by what they hear on the news and social media. As a realtor, I am constantly attending extra continuing education courses and listening to podcasts to keep up with the facts and try to forecast/plan for the future!


Recently, I had the opportunity to go to a full day real estate event in which the Incoming Louisiana Insurance Commissioner spoke and lead a very informative Q&A discussion. The main takeaway was how Louisiana homebuyers are struggling because of the increase in home insurance premiums, which makes their monthly note higher. So what is the solution?

  • The Incoming Insurance Commissioner, Tim Temple, is pushing for lessening the legal restrictions on the insurance companies, allowing them more freedom when writing and adjusting their policies. This is the standard for other Gulf Coast states not in an insurance crisis, such as Texas, Mississippi, Alabama, and Florida - which we should be modeling our structure after.

  • He is also urging for approval of a special session for the State Representatives to meet in January to discuss how to solve this problem so that actions can be made before the 2024 storm season.

  • Louisiana has a history of siding with the policy holders who claim "bad faith" when they receive their insurance claim response. The process is designed for the policy holder to be able to file a claim repeal should they feel they did not get compensated what they were owed. Insurance companies say policy holders in Louisiana are filing "bad faith" claims before they even receive their initial claim response from adjustors. This must stop for Louisiana to be appealing to insurance companies.

  • Once Louisiana becomes more alluring for business and more insurance companies start writing policies, hopefully the monopoly the current insurance companies have over policy holders will lessen and we will see some insurance premium cost relief.


I also follow lenders on social media and receive daily rate updates. While no one has a crystal ball, it has been predicted that interest rates won't drop anytime soon. Because of inflation, the Federal Reserve Board, who controls the interest rates for the US, are trying to control the national spending. When the real estate market boomed after Covid, home prices sky-rocketed, and spending drastically increased. By increasing interest rates, the "Fed" keeps this spending at bay. Until they see consecutive leveling out of inflation for a longer period of time, the home interest rates will not decrease.


So back to the question of "Should I Buy?". There are many reasons to buy now:

  1. You are throwing money away in rent and rent prices keep increasing. In this case - you are paying someone else's mortgage!

  2. You need to relocate because of a job, to be closer to family, etc

  3. Once interest rates go down, the market will be flooded with buyers. Wouldn't you rather get in now and have your pick of homes, more negotiation power, and benefit from lower house prices?

If one of these reasons apply to you, buy now and refinance later! ~ "Marry the house, Date the rate!"




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