Good Advice for Buying a Home In Today's Market
There is stiff competition for some housing inventory depending on the market and a lot of buyer uncertainty. One real estate industry publication, Houwzer, has some great observations on what it takes to get ahead in the housing market as a potential buyer.
One of their hints? Take more time to plan for your home loan. That might sound fairly basic since planning and saving longer is helpful anytime you want to buy a home. But combined with other steps, that advice becomes much more effective.
What else can you do when buying a home at today’s rates?
Consider a Smaller Home
Downsizing is a smart choice for some if the overall goal is to save more money on the loan to offset higher rates.
Take Your Agent’s Advice
The Houwzer official site reminds buyers that real estate agents often have years of training and experience to benefit from.
But you have to listen to the advice! Houwzer says, “Plenty of buyers get frustrated with the homebuying process precisely because they have a pre-set idea of what their buying experience ‘should’ be like - and have trouble adjusting to reality.”
A real estate agent has a better understanding of the local market as a whole because they deal with it each and every day. That level of understanding can help if you’re willing to take the advice.
Learn More About the Local Market
Does it sound like we’re telling you to think more like a realtor? That’s exactly what you should do. Make it your business to know the local housing business, and you may find better deals in unexpected places. Houwzer reminds house hunters to ask vital questions when searching for a new home.
“Are there new developments or new storefronts nearby that could continue to draw people to the area - or are there visibly neglected areas? A neighborhood that’s drawing people in will help increase your home’s property value.”
Such future considerations might not be top of mind right now, but it pays to give them some thinking time.
Other Good Advice
Don’t fall in love with the first place you look at, don’t skip the home inspection when you do find a house to commit to, and always ask your real estate agent if there’s something you’re not considering if you are on the fence about committing to one house or another.
Measuring Your Loan-to-Value Ratio
Monitor Your Credit Score
FHA Programs for First-Time Homebuyers
Do you know what's on your credit report?
Learn what your score means.