Studies show that most renters would actually love to own a home, but once they start online searching, many become too anxious to move forward. Buying a home is a life-changing purchase and some trepidation is typical.
“Now that mortgage rates have temporarily stopped increasing and have in fact eased some in the past month or so, we are seeing an uptick in buying activity,” Craig Rogers with The Platinum Group, REALTORS® said. “Mortgage rates, in addition to location and other fears, are an integral part of the home-buying process for hesitant buyers.”
Buyers are faced with a succession of decisions involving unknown territory, and fear of making the wrong decision is normal. Using an informed approach can help buyers avoid many of the regrets they are concerned about.
1. Waiting for the perfect time
Industry consultants agree, the right time to buy a house is when you have the down payment and an income that allows you to comfortably afford the payment. Potential buyers often watch the real estate market from the sidelines assuming suitable homes are priced out of their reach, or because they’re hoping prices will start to fall. In the meantime, buyers are watching and waiting as prices creep higher.
“I think that one of the reasons why we had such a buying frenzy early in 2018 was due to buyers trying to beat the interest rate increases that they knew were coming,” Rogers said.
2. Wrong Location
Some buyers can’t pull the trigger because they are afraid of being unhappy with the neighborhood they buy into. Consider the lifestyle you want to live and what factors are essential to that way of life. For example, access to local shopping, grocery stores and medical services, proximity to family and the length of your commute.
3. Buying a “Money Pit”
Ending up with a home that needs an abundance of repairs and maintenance is a mainstream fear. Everyone knows a house can appear to be great but end up being full of problems. When touring the property, keep an eye out for things like signs of water damage, damaged windows, mold, or structural problems. But in the end, it’s essential to enlist the expertise of a professional home inspector who knows how to look for things the untrained eye can easily miss.
Many buyers are afraid to take the leap because they think maybe something better will come along. Make a wish list that includes features your home must have, as well as features you’d
like to have but aren’t necessary. Don’t exceed your budget, because you can quickly regret buying a home that makes you house-poor.
In today’s digital world, it’s easy to think you can do this on your own. But, working with a local real estate professional who has their feet in the market every single day is a valuable asset, especially when entering a market like ours.
“I have received all four of those fears from buyers in the past,” Craig Rogers with The Platinum Group, REALTORS® said. “They can be lumped into a condition called ‘buyer’s remorse’. The most common concern I hear from buyers today is that they have missed out on lower interest rates, thereby making their monthly payment higher. This is true, but it is unlikely that mortgage rates will return to the historically low levels they have been over the past few years. In fact, mortgage rates are likely to move higher as the Federal Reserve continues its tightening cycle.”
Local realtors already know the market conditions, communities, neighborhoods, and schools and will take the time to get to know what you are looking for to help you find a home that will fits your family.
The number one independent real estate firm in Colorado Springs, The Platinum Group, REALTORS® combines top realtors with the best tools and resources to provide home buyers with platinum service and platinum results.
With over 80 percent of their business coming from referrals, The Platinum Group, REALTORS® deliver top quality customer service the utmost honesty, integrity and attention.