How to Buy The Perfect Home in Today’s Market

The most important thing that you have to do if you are looking to buy a house in today’s market is to get approved for a mortgage. Unfortunately because of all the issues with mortgages that played a part in the current financial problems banks are very wary about giving them out nowadays. Since it can be hard to get a mortgage or you may qualify for less than you had expected it is best to find this out before you even start shopping for a house by getting pre-approved for a mortgage.

homeThe next thing that you are going to need to do is to think about the issues that are involved in selling your current house. Of course if you don’t own a house this won’t be an issue. While you can a great deal on a new house because of the lower prices in today’s market keep in mind that you will probably lose money when you sell your existing house. You have to factor this into the equation.

It is important to keep in mind however that taking the loss on your current house may not be the worst thing in the world. The issue is whether the expected appreciation on your new house will exceed the amount that lose on your existing house. If this is the case then it is usually a good idea to consider buying. The North Carolina real estate market is fairly depressed right now so the chances that you will get a large appreciation when prices start to go back up are good.

Beyond making sure that it makes financial sense to buy a new house there is really not much difference between buying in weak market or a strong market. You will have the advantage of having more time to consider the houses that you like since there will be less competition to buy them. This can be a good thing or a bad thing since it can result in your spending months looking for the perfect house. You also have the advantage of being able to buy a better house than you could otherwise afford.

One thing that you should keep in mind when you are buying a house in a weak market is that when the recovery comes it won’t affect all areas the same. In general the nicer areas that have the more expensive homes will recover the fastest while in some of the less desirable areas prices may not recover at all. It is therefore usually the case that you are better off buying a lesser home in a nice area than you are buying the nicest home in a bad area. The house in the nicer area will almost certainly appreciate by more when the recovery finally starts.