An educated buyer is an empowered buyer! The thing with real estate, is you never know when opportunity will strike. Being prepared both with the market knowledge and financially having your ducks in a row are two ways a buyer can be ready for the opportunity! Here are 3 tips buyers can utilize to find a deal:

1. Learn the market! Go out and see everything at your price point. There is a huge value to having seen recent sales in person, than reviewing sale comparables just online.
2. Avoid the competition and pursue properties sitting on the market! Far too often, great properties sit on the market because they are either poorly marketed, over-priced, or both. They are likely to later sell at a drastic discount as a result of being stigmatized from days on the market. Viewing homes with high days on the market gives the buyer stronger negotiation power against the seller, and is an opportunity to bid non-compete and lowball!
3. Do the work! Why pay a premium for someone else's renovation? The great thing about real estate is that it is tangible. A buyer can walk in, and see exactly how they can add value. The buyer can review recent sales of similar properties that are fully renovated and estimate the resale value of any potential property that needs renovation. This by far is the best way to make money in real estate.

 

The rise in interest rates has been a challenge for many buyers during their home search. There are a few solutions that buyers can utilize to keep their payments affordable.

First, consider using a local bank. Local banks often have more competitive rates because they do not always sell your loan after closing.

Another potential solution is negotiating that the seller pays your loan points. Loan points are a way of buying down the interest rate, which in turn, lowers your monthly payment. Rather than negotiate a reduction in sales price, which when spread over a 30-year mortgage has little impact on the payment itself, negotiate seller-paid loan points instead.

Last, consider an adjustable-rate mortgage. City buyers especially tend to sell within 3-5 years of purchase. Ask yourself how long you will actually own the property. If it is less than 10 years, explore adjustable rate mortgage options that provide a 5-year, 7-year, or 10-year fixed rate at a lower price than a 30-year fixed mortgage. 

 

 

Boston is a global city and attracts people worldwide for its opportunities in education, healthcare, pharmaceuticals, technology, and finance.  This diverse economy keeps the demand for housing high. Watch “Boston by the Numbers” to learn about Boston’s past performance during times of turmoil.  Buyers should be taking advantage of their [...]

1. Lending Has Been Strict Since 2008

Talk to anyone who has purchased a home since 2008, they will share with you how difficult it is to be approved for a loan. The lending process is stringent, and the majority of buyers who have purchased since the housing crisis were extremely well qualified. These stricter lending requirements have [...]