The housing market seems to be gaining speed as we enter the new year and I have seen some trends that are a bit troubling.  It’s as if the flood gate has been opened for anxious home buyers and because inventory is low, buyers are putting contracts on properties that may not be in the best shape.  This seems to be especially true for first time buyers, who may not understand the consequences of getting into a home that may cost them far more than the asking price.

Here are a few suggestions to those wanting to get in on the buying frenzy.

1. Ask how long the house has been on the market?  If it’s been sitting there for a while, there may be a reason.  Properties that are in good condition are not going to last in this market.
2. The “As Is” purchase is fine as long as you know what the as is, is!  Don’t get stuck with someone else’s problem by foregoing the inspection just to get the deal.  The inspection should give you a 3rd party evaluation of issues you will have to either repair or live with once the property belongs to you.
3. Don’t panic.  Unfortunately, fear is a great motivator, but buying a house because you are afraid you won’t get another one, may land you in something you wouldn’t have even considered had the mortgage rates not been this good.
4. Watch out for the balloon.  I’ve talked to several Realtor’s lately who have some concerns about the inflated pricing on some homes.  When the inventory is low, sellers may up the price, even if the square footage comps are below what they are asking.  Do your research.  If you pay too much, selling will become a problem and you’ll find yourself upside down when you get ready to move.  Nothing hurts like having to sell a house and find out you can’t sell it for what you paid for it.
5. Professional Realtors and Home Inspectors are worth their weight in gold right now.  Purchasing a house is an incredibly expensive decision.  Be sure you are working with seasoned, highly trained professionals.  Nothing against the new guy or gal, but everyone seems to be jumping on the Real Estate train these days.  Just because they have a license, doesn’t mean they know what they are doing.  There’s a lot to be said about those who’ve been involved in this market for a long period of time.
6. If you are wanting to sell quickly, with few hiccups, consider getting a seller inspection to help you avoid the pitfalls that may come with a buyer inspection.  We have had quite a few of these lately and find the homes sell quicker at a higher price.
7. Consider remodeling the home you live in now.  Many of our clients love the home they are in, it’s just not big enough or needs a little updating.  Inspect It Like a Girl now offers a consulting service that can help you locate a qualified contractor and then inspects the work as it’s being done.  No more hassling with contractors.  Let us do that for you!  Contact our office for details.