If your house no longer fits your needs and you are planning on buying a luxury home, now is a great time to do so! We recently shared data from Trulia’s Market Mismatch Study which showed that in today’s premium home market, buyers are in control.
The inventory of homes for sale in the luxury market far exceeds those searching to purchase these properties in many areas of the country. This means that homes are often staying on the market longer, or can be found at a discount.
Those who have a starter or trade-up home to sell will find buyers competing, and often entering bidding wars, to be able to call your house their new home.
The sale of your starter or trade-up house will aid in coming up with a larger down payment for your new luxury home. Even a 5% down payment on a million-dollar home is $50,000.
But not all who are buying luxury properties have a home to sell first.
In a recent Washington post article, Daryl Judy, an associate broker with Washington Fine Properties, gave some insight into what many millennials are choosing to do:
“Some high-earning millennials save money until they are in their early 30s to buy a place and just skip over that starter-home phase. They’ll stay in an apartment until they can afford to pay for the place they want.”
The best time to sell anything is when demand is high and supply is low. If you are currently in a starter or trade-up house that no longer fits your needs, and are looking to step into a luxury home… Now’s the time to list your house for sale and make your dreams come true. source: Real Estate News with Keith Kreis
Home-Buying Fears and How to Face Them
Buying a home can be a scary thing, this type of purchase involves a long term commitment from maintenance to financially. Home buyers often are wary that they will purchase the wrong house and be stuck with an investment not worth their money. However, of the issues most home buyers often face, there’s plenty that can be done to alleviate the all too common fears you might experience when purchasing your new home. Buy Real Estate
One common problem in real estate is a cracked foundation, leaky roof, or dry rot. With issues like these, a good inspector will be able to point all of this out for you and then you can assess the problem as necessary. An inspector is very useful in that he or she is hired to point out every issue to the buyer. So don’t let them slack and ask plenty of questions, its their job to answer them. When you do ask the inspector questions ask for an explanation on this type of issue and when the repair or replacement must be taken care of. Finally if and potentially when an issue arises you should go back to the seller and ask if they will credit you back to repair after the deal closes. Buy Real Estate
Another fear buyers often have is the fact that the deposit may sometimes be locked in without the signatures of both parties. However, remember that it is nearly impossible for the deposit to be lost. If an inspection, loan contingencies or disclosure review is done, make sure you work closely with your agent to mark the timeframes. If the contingencies need to be removed be sure to finish establishing every thing at least a day in advance. If you find that you are in negotiations around the date, make sure to extend the contingency date so that you will stay under contract and the protection it affords. Buy Real Estate
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