I hate headlines that offer the possibility of achieving a goal, like How to Lose Those Last 10 Lbs. You hope they’re going to tell you a secret only to be told to exercise and eat less. Duh.
I’m afraid that’s what my article is going to say. Want to Buy a House? Be prepared to give up some contingencies, have a decent down payment and don’t give up.
According to Trulia, housing inventory hit a new low in the first quarter of 2017. “Recovering home values have proven to be a double-edged sword,” says Ralph McLaughlin, chief economist at Trulia. “While homeowners across the country are thrilled to regain equity in their homes, many have not been in a hurry to trade up. This has added to the inventory gridlock that ties up would-be starter home inventory from ever coming on to the market, further constraining supply and decreasing affordability.”
No one likes moving. But in northern Colorado, if you have a start-up home you’ve owned for even just a few years, you are now able to move up to the home you’ve always wanted. Unfortunately, if you own a home over $450k or more and want to downsize to a smaller, cozy ranch, you’re competing with first-time home-buyers, struggling to get in the housing market. That’s where the market comes to a screeching halt.
What To Do
Let’s get real. Here’s what you need to do:
- It’s never too early to start. Get out there with your agent and learn the market.
- See a lender today.
- Decide on how you want to communicate with your agent.
- Be prepared to move fast so you must know the market. See #1.
- Don’t assume that prices will ease up next year.
That’s what you said last year.