Rising pricing can make buying a home frustrating. Home pricing has constantly been rising yearly, and recent statistics show the average US home reaching a record high of $348,079. The increasing prices put a lot of strain on you when attempting to save for a home. You could think you will never be able to buy a house. However, you can consider other legitimate options if you cannot afford the housing market. Below are four options:
- Starter home
Revisit your must-have list if your preferred property seems out of reach. For instance, if a remodeled five-bedroom traditional home sitting on a vast land is outside your budget, consider what you can revise. A two-bedroom property on a half-acre plot may be an ideal fit for your budget. It may not be easy to let go of the fantasy of a gourmet kitchen or glistening hardwood flooring, but it is a better option than stretching your budget. Remember that you may always enhance the features of your house in the future. You can speak to a real estate professional to adjust your expectations to what you can afford. You might be surprised to discover that you still have some wonderful alternatives.
- Be willing to bargain hard
Who has the advantage continues to change between home buyers and sellers as the market shifts. One moment, you will notice negotiating power shifting from home buyers to sellers. The next moment, it is the complete opposite. Properties previously sought after could sit a bit longer, meaning potential buyers can bid below the asking price to save money. Buyers might also save money in a slowing market since seller concessions are returning. Concessions imply that a cash-strapped home buyer can ask a property seller to cover other costs, such as home repairs and others, that can quickly increase the purchase price.
- Increase your search range
You may prefer to live in the suburbs or the city, but widening your search may change your opinion about where you truly want to be. While you can reverse disparities in housing costs between cities and suburbs in an exceptional market, property prices are normally cheaper outside of the metropolitan region. Affordable pricing is reason enough to relocate. Suburban counties usually have more people moving in than moving out. But it is the opposite in the cities. For instance, recent figures show that pricey cities like New York and San Francisco have more people departing than moving in.
- Save a bit longer
This is pretty straightforward. You cannot buy a house if you do not have the funds. If you reside in an expensive market, it will likely take more time to be financially prepared to buy a property. You can still attempt to pay down debt or save for a down payment. You could also reside in a region where your property budget cannot yet support a mortgage. In the meantime, you can search for an apartment for rent to save money and be patient. Plus, you can phone your landlord to fix any housing problems rather than spending your limited resource.