If you’ve been glued to the news lately, you’ve probably heard the buzz about the stock market taking a nosedive. It’s got everyone on edge, but here’s the reality check: those losses aren’t locked in unless you sell at the bottom.
Instead of panicking, let’s shift the focus to something more grounded—literally. Investing in a home versus the stock market is a different beast altogether, and right now, it might just be the opportunity you’ve been waiting for. Let’s break it down.
Stock Market vs. Home Buying: The Big Differences
Sure, the stock market can be a rollercoaster, but real estate? Historically, it’s more like a steady climb.
Here’s how they compare:
- Volatility Isn’t the Same Game
The stock market can plummet 10% in a week—sometimes even in a day—as we’ve seen recently. Homes? You’ll never see a 10% drop in value that fast. Real estate moves slower, giving you breathing room and stability that stocks can’t match. - Cash Up Front
Drop $300,000 into the stock market, and you need every penny of it in liquid cash. Buy a $300,000 home? With a conventional loan, you’re looking at 20% down—$60,000—plus closing costs. Go with a VA or FHA loan, and that number shrinks even more. Real estate lets you leverage your money in ways stocks don’t. - Tangible Value You Can Use
Stocks are numbers on a screen—intangible until you cash out. A home? It’s a roof over your head, a place to live, and something you can enjoy every day. You can’t sleep in your stock portfolio. - Control Factor
The stock market is at the mercy of global events, corporate earnings, and investor sentiment—things you can’t influence. With a home, you’ve got more say. Renovate the kitchen, landscape the yard, or refinance when rates dip. Your actions directly impact its value. - Income Potential
Stocks might pay dividends, but a home can generate rental income if you choose to lease it out. Even if you live in it, you’re building equity over time—essentially paying yourself instead of a landlord. - Tax Perks
Real estate comes with benefits stocks can’t touch. Mortgage interest deductions, property tax write-offs, and capital gains exclusions (up to $250,000 for singles, $500,000 for couples) when you sell—all sweeteners that make homeownership a financial win.
Is Now the Time to Jump In?
Interest rates for home loans are the best they’ve been all year as of April 2025. Yes, they’re a bit jittery thanks to the stock market’s ups and downs, but that’s exactly why you shouldn’t wait.
When stocks tank, investors often flock to safer bets like bonds, which can nudge mortgage rates even lower. Pair that with builders who might be more motivated, and you’ve got a recipe for a smart move.
Don’t Panic—Pounce
The stock market’s chaos doesn’t have to be your chaos. While others are sweating their portfolios, you could be making your move in a new home at a great rate with a down payment that won’t drain your savings.
Real estate isn’t just an investment—it’s a foundation. It’s less about timing the market and more about time in the market. Historically, home values trend upward, smoothing out the bumps that stocks can’t avoid.
BREAKING NEWS!
According to news released today (4/9/25) by the Mortgage Bankers Association, mortgage applications are up 20% from the previous week, marking their highest level since last fall of 2024! Much of this activity took place in the refinance applications but purchase applications weren’t far behind.
So, if you’ve been on the fence about buying a home here in Wake, Johnston, or Harnett County consider this your nudge. Talk to one of our team members and one of our preferred lenders, together, crunch the numbers, and see how much house you can snag while rates are in your favor.
This isn’t about fear—it’s about opportunity. What’s your next move?