Why Waiting to Buy a Home in Kansas City Could Cost You
At some point, you’ve probably heard the saying, “The best time to buy a home was yesterday. The next best time is today.” That rings especially true for Kansas City, where home values continue to rise, and waiting for the perfect moment could mean missing out on a great investment.
Home Prices in Kansas City Are Still on the Rise
While some buyers are holding out for a drop in home prices or a more favorable mortgage rate, experts predict that home values will keep climbing. According to the Home Price Expectations Survey from Fannie Mae, prices are expected to rise through at least 2029.
While we’re no longer seeing the steep spikes of previous years, Kansas City is still experiencing steady, sustainable growth. Nationally, experts project a 3-4% annual increase, and local trends show that our market is following suit. That means waiting could cost you more in the long run.
What This Means for Buyers in Kansas City
If you’re waiting for prices to drop before buying in Kansas City, here are a few things to consider:
- Tomorrow’s home prices will be higher than today’s. The longer you wait, the more expensive that dream home in Brookside, Waldo, or Overland Park will become.
- Mortgage rates fluctuate, but rising prices can outweigh small rate dips. Even if rates drop slightly, the increase in home prices could mean you’re paying more overall.
- Buying now allows you to start building equity sooner. If you purchase a $400,000 home today, based on current trends, its value could increase by more than $83,000 in the next five years.
Why Aren’t Prices Dropping? It’s All About Supply and Demand
Kansas City’s housing market, like much of the nation, is being driven by supply and demand. While inventory has increased slightly compared to last year, there still aren’t enough homes to meet buyer demand. According to Redfin:
“Prices will rise at a pace similar to that of the second half of 2024 because we don’t expect there to be enough new inventory to meet demand.”
That means prices in Kansas City are likely to keep rising, making now a smart time to enter the market before costs climb even higher.
The Bottom Line: Time in the Market Beats Timing the Market
If you’re debating whether to buy now or wait, remember: the real estate market rewards those who take action. Trying to time the market perfectly could mean missing out on potential equity and higher future costs.
Yes, today’s market has its challenges, but there are ways to make it work—whether that means considering different neighborhoods, looking at townhomes or condos, or exploring down payment assistance programs. The key is making a move when it makes sense for you rather than waiting for a perfect scenario that may never arrive.
If you’re curious about the Kansas City market and want to explore your options, let’s connect. Whether you’re ready to buy or just starting your research, having a solid plan in place will set you up for success.
