The housing market has its ups and downs that can make finding the perfect home difficult if you aren’t prepared. There are some important things to keep in mind to navigate the financial side of the housing market in 2019 and 2020. The first place to start is determining your needs for your home. Use these tips to help you navigate the housing market and understand the situation.
Get Preapproved
Having your financing lined up with a preapproved loan will avoid a long closing period that could cost you the home that you want. It will also give you an idea of the types of homes that you can afford. This is important because you don’t want to make an offer on a home that you won’t be able to sustain. There are solutions when it comes to being able to afford more for a house than your loan amount provides. These involve you adding in additional funds from another source to offset the value of the home.
Utilize an Agent
A good real estate agent will be able to advise you on whether your budget is in line with all of the things that you want in a home. They will also be able to give you an idea about the value of the homes that you’re considering. For example, a home that’s underpriced will likely sell for a higher value because of the increased competition. Another thing that an agent can help you with is in the form of their contacts for the items that need to be done prior to closing a sale.
Focus Your Search
Selecting a focused area in which you want to live gives your agent a better chance to closely match what you want. Look into home buyer services to help you spot the trends that are developing in the housing market. This can help you to find a home that’s in an emerging area. For example, you may want to live in a community that includes amenities. Including this in your search will give you a better idea about what navigating the market needs to entail. There are also many apps and technological tools that make home-buying much easier, from trade-in programs to online listings. You can use these to both focus your search and simplify the buying process.
Avoid Contingency Offers
A contingency offer may be rejected over another offer that wants to close sooner and is more of a guarantee. Avoiding these types of offers sets you up for a better chance of securing the home that you want. This is especially true when you’re in a hot market. A bidding war works against you because you have to drive up your offer just to get the house.
The housing market can be extremely volatile depending on where you live. Use these tips to help you navigate the housing market in your individual region.
