In general, the growth of home prices in 2019 was slower by 3.3% compared to 2018 which was 5%. This year, the trend seems to be going in the same direction. In fact, the real estate experts’ prediction is that by this year, home prices will rise by 2.8% only. So, this means it may not be a rapid growth like the previous years but surely, home prices are still rising.
- What’s in it for the sellers?
While this still means a possible higher profit in the market for the sellers, it has to be remembered that consumers’ buying options have actually changed, and that leads to a lesser number of offers you may get for your home. So, what should be done? You should have a good knowledge of your competition. Make sure you stand out among other similar properties in your area. Your home should also be prepared for potential home buyers. You could also work with a real estate agent and get your home enlisted for the right price.
You then wait for the right offer to come in the right time and be ready when it does. Surely, there will be buyers who would haggle the price and offer you lesser than your desired amount, but if you are not in an urgent need to move just yet, wait for the one that would be more profitable. Always remember that when you do not have a desperate need, you will have the upper hand to negotiate.
- What’s in it for the buyers?
It is not a secret that buying a real estate property is pretty expensive. If you are planning to buy a house, plan your expenses well. You have to be sure you will be buying a house you can afford and not suffer with your budgeting. There are mortgage calculators online that you can use to find out the amount that you can handle for your monthly payments, or you can also seek help from an experienced real estate agent.
Do not go beyond what your budget can afford. Do not go for something that can potentially harm your finances because it will have a domino effect to your other needs. You need to stick only to what makes sense to you financially. Do not be pressured by other buyers like you getting their own properties because they too should spend their money wisely in a home within their means.
A quick way to assess your financial capacity is to check if you can afford at least 10% down payment on a usual 15-year fixed-rate loan. If you can’t, you would most likely struggle paying huge monthly payments for the mortgage―this happens if you put down less than 10% of the property cost. To be fully prepared before buying, consider the following:
- Save more. Be patient and stay motivated to save for the down payment. If you can save for a five-figure usual down payment cost, you are doing the right thing.
- Give up your extra expenses. Instead of having that “well-deserved pat-on-the-back milktea” or “new shoes and clothes,” sacrifice some wants and save them. Once your wants decrease, your savings increase. And if over time, your income goes higher, you can then be able to buy your well-deserved home in some nice neighborhood.
- Do more research. Consider checking other locations other than your initial preference and you might be surprised to find a nice property that fits your budget. A good real estate agent who is knowledgeable of the area can greatly help you in this matter. The agent can give you multiple options with their pros and cons and then you can both discuss your personal preferences so that you arrive in the best decision.
Whether buying or selling a house, things can be a bit stressful and it is a crucial decision to make. So seeking help from experienced professionals in the real estate business is going to save you from many troubles and stress. It will also lessen and lighten the process from your decision making to the purchasing of your dream home. If you are looking for a company who offers cash for houses Los Angeles, Mrs. Property Solutions can help! They can give you a fair cash offer in just minutes.