Is Now the Right Time to BUY a House?

Dated: March 30 2023

Views: 145

I am asked this question a lot, and my answer is the same each time. 
“It depends on your personal situation to decide if it is a Good Time for You to Buy.” 

The three primary questions a Buyer should answer are:

1)      Does your financial situation afford you to be a homeowner?
2)      Do you plan to live in the area a long time (2+ years)?
3)      Have you found a home that meets your needs?

If you answer Yes to all three, then Now is a Good Time for you to be a Buyer. 

FINANCIAL WHERWITHAL - First step for any Buyer is to talk with a Lender.  It is best to understand your budget from the start.  The price of the home a Buyer can afford depends on income level, current mortgage interest rates and the downpayment savings of the buyer. Making sure to set a reasonable budget upfront ensures the Buyer is looking at homes that they can afford to purchase. 

LONG-TERM OWNERSHIP - Buying a home comes with fees like lender costs, escrow fees and title insurance expenses.  Buyers want to plan to live in the home for the long-term to ensure these upfront costs and any short-term price changes in the market will not affect their equity in the home, since a seller does not realize their equity until they sell.  It is important to note that there are selling costs like agent commissions, repairs and escrow fees so owning for shorter term can often lead to losses on the sale.   

FINDING THE HOME TO BUY - An important part of finding the right home is timing.  What homes are currently available, how flexible the Buyer is with their needs vs wants list and if the buyer is considering multiple neighborhoods and cities will determine how many homes the Buyer has to choose from.  Inventory continues to be historically low so finding the Perfect Home will be challenging but finding a Home that meets one's needs is feasible.  Also expanding the geographic region for the search will increase the Buyer’s options.  Motivation also plays a role in finding the right home to purchase, like if the Buyer has a shorter timeline in their current housing situation then they are more motivated to compromise on home criteria to make a purchase that meets their timelines.  People purchase a home for a variety of reasons with most popular reasons being relocating to a new area, needing a larger home, wanting to move to a smaller home like a single-level, or buying an investment property. 

So the Question is not “Is it the Right Time to Buy?” but rather “Is it a Good Time For You to Buy?” Please reach out if your would like assistance with Your Next Home Purchase.  TEXT or CALL Pamela 949-297-6340

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Pamela Hansen

Specializing as a listing and buyer’s agent in South Orange County, Pamela is passionate about increasing her Client’s Net Worth through homeownership. Pamela provides quality service to her clien....

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