Housing prices are at an all time high making it difficult for many to buy a home. Also, the higher prices make it harder to find a home that meets both your needs and your budget. It is common for houses to sell over asking but not just slightly over, sometimes up to 6-figures over!
This is causing people to rush things and not think the purchase through properly. Here are few tips and tricks to keep you safe.
Don’t Settle For a Dump
Some houses might be cheaper because they require some major renovations. Your realtor will be a good resource for this. They are able to notice things you might overlook. You can include the cost of renovations in your mortgage but make sure that the price of the home plus renovations is still in your budget. Just because your budget might be small, it doesn’t mean you need to settle for a house that needs a lot of work.
Take Your Time
Since the market shows no signs of slowing down, many people are rushing and buying a house that might not meet all their needs. Take your time and make sure you buy the right house for you. You don’t want to make the biggest purchase of your life and then regret it. Also, if you rush, you might overpay for a house. Again, talk to your realtor. They are there to help you keep a level head. Your realtor will help you make sure you don’t rush a purchase. Don’t let the market scare you into a purchase.
Use A Trustworthy Lender
Whenever there is something in high demand there are people who want to take advantage of the situation. First-time buyers, especially need to be wary of this. Since the market is on the rise, people want to enter in before it gets too high. Unfortunately, not everyone is in a situation conducive to house ownership. Use a mortgage broker and borrow from a trusted agency.
If you’re not able to get a mortgage this way, you just might need to wait until your circumstances change. Be wary of private lenders that promise mortgages with little to no background checks. Those checks are there for a reason, to protect you. Without these checks you open yourself up to taking on a loan you can’t afford.
In summary, be smart with your purchase. If you take your time and use your head you will be successful and find your next home!