Buyers to face competitive housing market
Low inventory, high demand and higher mortgage rates could make it harder to find housing in Florida and other states that meets a buyer’s needs and budget. According to Trulia, starter homes that are available today tend to be older, which means that they need to be repaired. Trulia data shows that home prices increased 10 percent while falling 14 percent in since this time last year.
Because of higher prices for land and labor, there are fewer new homes being built for those looking to buy their first property. There are many reasons why inventory is exceptionally low at the moment. One of those reasons is that current homeowners are choosing to remain in their homes despite the high demand for residential property. This is because they may find it difficult to buy a new home at a reasonable price.
Some homeowners can’t sell because their homes are worth less than what they owe on their mortgages. Those who are looking to buy a home should be ready to act quickly and take actions to stand out such as making an offer above the list price with no contingencies. Buyers should also be aware of changes to the tax code that cap mortgage interest deductions at a lower amount than before.
When buying residential real estate, individuals may benefit from learning as much as possible about how to make an offer and how to get a mortgage. Doing so may make it easier to get a loan that stays within a person’s budget. An attorney may be able to help a buyer review the terms of a purchase offer prior to close. Legal counsel may also assist in going over the terms of any loan a person may use to buy a home.