Questions to Ask When Buying a House in 2019
There are many questions to ask when buying a house in 2019. You don’t want to rush into the market, as this could lead to you either settling for a home you’re not happy with or paying much more than you needed to. These are the things you should consider before you decide to purchase a new home.
New Houses for Sale
New home sales have risen significantly the last few years. 2017 saw a 20 percent increase in new homes for sale, and 2018 saw the emergence of new FHA loans, which are loans that are insured by the Federal Housing Administration. Both of these factors could impact 2019, making it a good year to sell and buy new homes. The housing market is stronger than ever, and that trend is set to continue. However, this new market can leave home buyers feeling a bit overwhelmed. Make sure you are prepared for what your journey to home ownership in 2019 could bring.
How to Prepare for Buying a Home in 2019
There are key questions that you should be asking before you purchase a new home:
Can You Afford a Newly-Constructed Home?
2017 saw an increase in the number of new homes being sold, and a large portion of them were homes that had been newly built. These types of homes are becoming more and more popular for home buyers. The reason for this is a desire to buy a home that is high-quality, won’t require many repairs yet, is in a good location, and comes with a reasonable price tag. Those metrics are difficult to fulfill. Communities are becoming crowded, and newly-built homes provide quality construction and a desirable location. However, they do come with higher price. So, you should ask yourself – can you afford one of these new, high-quality homes? Should you save for one? Or can you be happy in a community that is crowded, with a home that may or may not need repairs, but without the competition from other buyers? It’s an important question to answer.
When is the Best Season to Go House Hunting?
The time of the year you start looking for a new home is an important consideration as well. Summer months are typically immersed with both buyers and sellers, and prices are high as a result. Winter months are historically the best months to buy, since there is little to no competition and prices are much lower.
Can You Live Away From the City?
Living in metropolitan areas offers a lot of conveniences, but it can be expensive to buy a home in these areas. Not to mention, everyone else wants to live in the city, too. To save money on your new home, you might consider looking in less-populated areas. You don’t have to live in a country town away from civilization – try the suburbs.
Do You Need to Work on Improving Your Credit Score?
Unless you have hundreds of thousands of dollars saved up, you will likely need to take out a mortgage loan. This loan will be expensive, with monthly payments, interest rates, down payments, and closing costs to consider. It will take a long time to pay off such a large loan, which can follow you around for decades. The one thing that has the most potential to ruin your chances of obtaining a mortgage loan is a poor credit score. Your lender will look to your credit score to determine whether you will be able to keep up with payments. If they see you as high-risk, they will either deny you for the loan or they will charge higher interest rates. Improving your credit score will guarantee you lower rates on a mortgage loan. You can do this by obtaining a copy of your credit reports, correcting errors, and making payments on outstanding balances.
New Homes in Orange County
The housing market is strong and lively in many areas, including Orange County. It doesn’t show any signs of slowing down in 2019. To be prepared for this reinvigorated market, you should be aware of an increase in expensive, newly-constructed homes, the best season to look for new homes, the benefits of living in the suburbs, and the importance of reviewing and improving your credit score. These are all factors that are heavily influencing the housing market today. That’s why it’s important to consider these factors very carefully before you jump into your search for the perfect home. It could mean the difference between a difficult, stressful, and disappointing search, and an easier, more efficient, and more successful one. It will also allow you to stop stressing and start planning the move into your beautiful new home.