It’s a Good Time for Ole Miss Parents to Buy that Satellite Nest

If you have a child leaving the nest to attend the Ole Miss, you may want to consider a satellite nest instead of paying room a

nd board or renting off campus. If you reallocate the money earmarked for your child’s on-campus or off-campus housing to a real estate purchase, it might be a wise investment.

Several key factors have aligned to make investing in a condo or home for your college student, or yourself, a wise decision at this time. The National Association of Realtors reports that sales of existing homes fell in January for the third straight month. Existing home sales fell 1.2 percent from December to an annual rate of 4.94 million annualized units vs. the 5.05 million expected, the lowest since November 2015. Compared to last year, sales are down 8.5 percent. That tapering demand may result in more attractive prices for buyers.

In Oxford, sales have trended downward, driving up the inventory of houses and condos. In addition to better pricing, you may have more choices.

Another key factor is interest rates. Mortgage interest rates have decreased slightly from 4.83 percent in December 2018 to 4.62 percent in March 2019. These lower rates make it more affordable to carry a mortgage while your child is in college. If you have more than one child attending Ole Miss, the financial benefit is double.

There is more to it than mortgage interest rates. A good mortgage lender can answer all of your questions. Are there fees? What amortization term is best for you? Do you qualify for any particular programs that may be available? What type of mortgage loan will best fit your needs?

If you’re seriously considering buying a satellite nest for your child, or for yourself, the first step is to get pre-qualified. Then, you will know what price range you can afford for that home or condo.

Your next step is to find a good real estate agent who can provide information on homes and neighborhoods that fall within your price range. Your agent will also help you negotiate a home’s price.

Once you select your mortgage lender and realtor, it’s time to start looking. Take as much time as you need, find the home that best fits your needs and negotiate a fair offer. Be sure to get a home inspection to make sure the house is in the condition that you expect.

Also, select a closing attorney who is experienced in real estate transactions. An attorney will make sure you will receive clear title to the property and handle all aspects of closing on your purchase.

Once you have closed on the purchase of your new home, it’s time to move your child, or yourself, in and enjoy your new home.

To start the process of buying your new home, contact Lindsey Faust, Mortgage Consultant, at Paragon Bank in Oxford: (662) 259-8327.