It had to happen eventually.

The analysis above shows the monthly cost of financing 80% of the purchase price for a median priced home over the past ten years.  A few observations....

• The monthly cost of a median priced home peaked in 2007 at $1,123 per month.
   
  
• The monthly cost then dropped 31% between 2007 and 2012 to $779 per month.
   
• The monthly cost has risen over the past two years, to $841 per month.

The increases in monthly housing costs over the past two years are not surprising, because....

• Interest rates have started to edge upwards.
   
  
• Prices (home values) have started to edge upwards.

As a buyer, you still have a great opportunity to lock in some relatively low monthly costs of homeownership -- and there is some value in acting sooner rather than later, as these costs are likely to continue to increase over the next few years.

Here's the data behind the graph....

A few notes....

• Analysis assumes 80% Financing at Average 30-Year Mortgage Interest Rate
   
• Payments includes estimate for insurance, and taxes at Harrisonburg's current rate ($0.69/$100)