If your dream of buying a condo or a new house can wait until 2020, there’s nothing like it because the housing market is expected to take a nosedive by the end of 2019.
So far, things have been looking up for home sellers this year. New buyers are entering the market and the interest rates are relatively low. This means that if you buy a home this year, chances are you will end up paying more for the same property than you would next year.
According to a survey conducted in 2018, a majority of economists and real estate experts say that the next recession is expected to hit America by the beginning of 2020. While this will largely impact the real estate market, it’s the sellers who are going to take the maximum brunt.
You may choose to believe that the recession is a long way off, but going by the current real estate patterns, it is unlikely for property prices to go up in the near future.
What does that mean for buyers?
That being said, there’s no harm in waiting for your next home purchase. It’s a comforting thought for reducing anxiety around money.
But, if the predictions turn out to be true and the property prices drop, you’d better start looking for options because the best ones will sell like 1-2-3.
Lower property rates are a delight for buyers, but here’s a bummer. As the property rates go down, the mortgage rates will go up, which shouldn’t bother high-down-payment buyers, but itโs going to make the other group of buyers worry a bit.
Buying A House
According to a survey, the wave of homebuyers in 2020 will be largely comprised of millennials. This also means that a majority of them will be first-time buyers with little-to-no experience in real estate transactions or buying a home. A great checklistย can help you decide before you think ofย buying or renting a house.
If you, too, are planning to buy your first home, here are a few things you should do to avoid a sour experience.
Pay off all your debt
Buying a home often comes with a hefty mortgage, and you need to be well prepared ahead of time. Paying off all your debt will give you a higher credit score, which should help you get a mortgage at lower interest rates. This will also help you manage your finances better.
Check the credibility of your builder
Donโt believe everything your builder tells you about the property. Before you sign the dotted line, check the credibility of your builder, including their track record, client portfolio, online reviews, etc. Thereโs no denying that builders donโt spare any desperate attempt to sell a house. And while you are dealing with them, itโs always better to go with the devil you know than the devil you donโt know.
Never skimp home inspection
When you are buying a home for the first time, ordering a home inspection service in New Hampshire, or wherever you are based, can help you avoid a money pit. Your home inspector will assess the property to find structural and system defects, which will be specified in a detailed written report. This should help you make an informed buying decision or negotiate the price.
What to ask during a home inspection? To make the most of your home inspection expends, it is important that you attend the home inspection. When you do that, you can see the issues firsthand and get a repair estimate, or whether you should go ahead with the purchase or not. If yes, then to what extent can your negotiation go.
Conclusion
If you have already done your research about buying a new home, all the best for your purchase. But if you are still contemplating, now is a good time to procrastinate.
Whether itโs a sellerโs market or buyerโs market, it is important to have your dues cleared before you get into a mortgage if you are buying a house. Also, donโt forget to order a home inspection immediately after signing the purchase agreement.
