When Is The Right Time To Buy? : Now or Later?
Realtors always hear, “We just don’t know if it’s the right time for us to buy.” Well to realtors, it’s never a BAD time to buy a home and there’s a home for every price point and for every type of family whether you are upgrading, downsizing, or it’s your first home.
Is this the right market to buy a home?
Much like the stock market, the housing market can be unpredictable. You can’t perfectly time the market but here are some things to consider when trying to decide the perfect time to buy a home.
- Check out the inventory in the area you are looking. If houses have been sitting for months then it’s a little slow, but if they are going up and getting sold in weeks then you are in a sellers market.
- Take a look at interest rates since they tend to fluctuate with the market conditions.
- Talk with your financial advisor or someone you trust about what you can afford.
Peak seasons to buy
While experts say that the best seasons to buy are spring and summer, that’s when most people are going to be buying and it can make the competition a little bit steep. There’s nothing wrong with buying in the “off seasons” and in fact you have a little bit more negotiating power with the seller. The winter and fall are when the seller is the most motivated to sell and would be willing to make a deal.
Don’t let finances get in the way
The biggest reason people don’t buy a home when they are wanting to is because their finances just aren’t allowing them to at that particular moment. There are many payment assistance options and strategies for buyers who think that buying a home just isn’t in the stars for them...or their wallets for that matter. Cutting down on your unnecessary spending can help a lot more than you think. If you are buying coffee every morning and then eating out at lunch, that adds up quicker than you think and you could be putting that money towards your home!
Buying a home isn’t something you should rush into and isn’t a situation where you just pick and buy. There are alternate things to consider when trying to pick the perfect home for you:
- Think longer than just right now. When thinking long term, think about things like is this a good school district for our future kids and does this have a good resale potential.
- Make a list of must-haves and then make a list of nice-to-haves. There’s a big difference. Don’t buy a house because it has all the bells and whistles, but buy it because it’s practical.
- Make a list of all the expenses you will have to pay for when buying a home. For example, utilities, interest, your gas bill for your car if you are farther away from your work or school.
- If you are buying a house with a Homeowners Association, ask for the contract before buying in that neighborhood so you know what they require as far as fees and such.
- Listen to all the old advice about buying a house such as having an emergency fund, save for a down payment of at least 20 percent, get your credit in good shape, and don’t buy more house than you need or can afford.
Deanne Fairfield & The Fairfield Team is experienced at helping first-time homebuyers, as well as experienced buyers and sellers, find the right home. Contact us today to get your move started!