There is a myth among homeowners that selling your house to cash buyers will relatively give you fewer gains in comparison to a realtor. Homeowners believe that going the traditional way is always the best way. Whereas, only a handful of them knows selling your home to a cash buyer will give you maximum returns while cutting down your labor of research and paperwork.
Here we would like to shed some light on the topic, stating which is a better choice for the homeowners, selling the house to a cash buyer or a realtor? Given below are some reasons, why selling your home to a cash buyer is a better deal than realtors.
Selling Home Through Realtor
When you list your house in the real estate market with the help of a realtor it will always cost you a decent amount required for selling. Realtors will sell your house only when it is ‘sale ready’ ‘or market-ready as it is articulated in the real estate arena. It is stated one should never judge a book by its cover, in the real estate world it’s completely contrary. Every house will always be judged by its external and internal conditions, as it is a tangible asset.
A realtor will make sure that your house is in great condition and has curb appeal, in order to accelerate the sale process and sell the asset in a short extent of time. You should also make sure about the requirements & laws regarding real estate brokers.
1. Home Improvements Require Money
A buyer will never buy a house that lacks amenities. In such a case, a realtor will evaluate the property in order to see where the house requires improvements and will ask you about doing the required as earliest. Here, the conclusion boils down to the point that if you want to sell your house through a realtor, your repair projects will require loads of dollars.
As people today are much smarter, they know where to spend how much. Everybody loves life at ease which is why home buyers today expect a home that is full of luxury and amenities by spending the least funds.
If your house lacks the basic facilities, it ultimately drops its curb appeal, which eventually decreases the list of potential prospects. If the above case comes into play, your home won’t even reach an appraisal.
2. Time On-Market
The biggest problem, while you are selling your home through a realtor, is the time on the market. The inclination of your home, sitting on the market, could probably prolong as the sales are not defined. Also, if a seller has taken a decision of selling a home in a particular time frame, the realtor will extend the time for reasons like processing of home sale. This thing affects the sale, lengthens the waiting period, and creates obstacles in your planning. Furthermore, there are a bunch of carrying costs that are levied while your home is listed.
Carrying costs is an amount that is required if your home is on the market for sale, this is also known as owning cost of an asset if it has to be sold. These costs will cost you a lot of capital, in the form of payments like property tax, insurance, and utilities (for improvements or upkeep).
3. Annoyances With Mortgages
If a buyer requires a mortgage to purchase your house he or she will also bring along problems like inspection and appraisals, as a seller, it will be a hindrance in the home selling process. These requirements arrive from the creditor’s side, the bank or the lender would thoroughly go on with an inspection to verify if the buyer is genuinely buying an asset.
The contract would consist of contingencies like mortgage approval, insurance approval, appraisal, closing date, scrutiny of the house, and a requested satisfactory walk-through. In the worst-case scenario, if your home doesn’t reach an appraisal, you might want to re-list your house or make a deal for less. Here, you are not only wasting your time but also funds for no gains.
4. You Are Just Another One In The Queue
The line of clients for the realtors is always huge and constantly stacking up. You are just another one in the queue. Here, you have to keep in mind that if your agent is stacked up with too many contracts, your home will certainly not get the required attention. You must make sure that your realtor does his due diligence with utter devotion because no seller likes to witness a deal that falls through.
5. Commission and Added Charges
Now, when you have spent a lot already, you need to make space for some more. There is a question popping in many homeowners’ minds, why you don’t get maximum gains on your property after selling it at a great cost? The answer is commission.
The chief cause of a seller not receiving the desired amount is the realtor’s commission. You have to drop the anchor of money down in the sea for a more 6% commission charge to your real estate agent for the sales. You’ll be entitled to pay for title insurance and tax proration – which makes it all the costlier. The secret to making up your mind about the flowing money is, to keep aside 10-12% of the purchase price. You’ll need it as commissions, administrative fees, and closing costs.
Selling Your House To A Cash Buyer
Cash property buyers are people or companies, who buy your property without obtaining a loan. Selling your home to a cash buyer is the soundest option in the home selling process. It saves your pocket from flooding money. Whereas, selling your home through a realtor will give you a lot of headaches of hiring a real estate agent and then waiting for the rest of the processes, which costs you money.
1. Sell House As-is Fast
Cash house buyers use the terms ‘we buy a house for cash because they buy your property as-is meaning; they’ll buy your house of whatever age, in whichever condition without staging or cleaning. If you put your house on sale through a realtor, it will take a bare minimum of 6 months to find a potential buyer. It can be over a year to get done with the sale of your home. So choosing the not-so-obvious way is probably the best option to sell your house.
2. No More Repair Problems
A real estate agent will advise you to stage your home and hire a photographer to click pictures for listing them in the market. You might want to go down that road if you have a lot of time and money to spend. Usually, homeowners who want to move quickly will eventually opt for cash sales. Because they might have to buy and sell the house at the same time. As an advantage when you choose we buy houses for cash companies, you do not need to repair your homes as these companies buy your houses as-is.
3. No Contingencies
As stated above if the buyer has taken a loan from any lender or has applied for a mortgage, it will eventually bring a lot of contingency clauses. The clauses like inspection and appraisal, which as a seller you’ll have to satiate. But if you prefer skipping the traditional way and choosing cash buyers over realtors, you’ll save yourself from many hassles because companies or buyers will give you cash or saved capital while closing the offer. These buyers are primarily investors, so they actually know zilch about the area, your home, or your neighborhood. Hence, they visit your house to examine it and propose an offer in as less as a week.
4. No Commissions Or Closing Costs
In simplified terms, by choosing the non-traditional way, you’ll be directly saving 6% commission from the realtor. Here, the customers don’t rely upon the quality of your residence. They will buy the house from you and then apply the formula of flip – rehabilitate – sell. By doing this, you will obtain all the money from the sale. You would also be saving the predicted prolonged waiting time.
5. Speedy Sales And No More Working According To Timelines
Companies that buy your house for cash buy your home even if it is not market-ready. The buyer will buy your property as-is and close the deal in as less as 7 days. The buyer even does not require finances for the purchase of the house which makes it a faster sale.
When you sell your home through cash buyers, you don’t have to work according to someone else’s timeline. You don’t have to change your plans according to the buyer. The company will buy your house instantly after viewing the property once. And later after which they will sell it to other potential buyers. Here, the process turns out to be much faster than the anticipated time frame. This helps you move faster to the new destination without losing a significant amount of saving money and time.
Here, the process turns out to be much faster than the anticipated time frame. This helps you move faster to the new destination without losing a significant amount of saving money, and time.
6. Fall Through Of Sales
Financing is the fragment where maximum fall-through of sales and foreclosures occur. It is a stressful part because your home is already listed in the market for sale. You have a potential buyer but, somehow the buyer does not qualify for the loan, or they just back out from the contract. You can barely predict the possibilities.
The best thing you can pick over anything is to find cash buyers or get in touch with our company ‘Elite Properties NYC’. We buy houses for cash. By doing this, you are cutting down your legwork and saving yourself from catastrophes like foreclosure and fall through of sales.
Advice That Matters
We comprehend that home selling is a daunting process. Your situation is desperate, and you are unquestionably searching for a solution, that works in your favor and gives you maximum gains. We have stated many benefits of selling your home to cash buyers for speedy sales and decent gains.
If you have queries regarding selling a house for cash in New York, feel free to call us. Rest assured we will provide you with the best solution for your real estate problems.
For more information on Why selling to Cash Buyer is a Good Idea.
Selling your home is an overwhelming and exciting process. As homeowners see great offers coming in, it could be quite confusing. While the journey is thrilling, it also comes with its own pros and cons. The situation intensifies when you see a lot of offers knocking on doors. You may get confused in concerns about what offer suits you the best. It is essential to get through with the know-how of the whole process. Choose the best deal which covers all your concerns.
Providing below are some tips for picking the best offer while selling your home. You can keep this in mind before you get tempted and wrap up deals.
Get Thorough With The Process
It could be the first time for many homeowners, and it is essential to know the fundamentals right, in the initial place. The formula to pick the best offer while you sell your home is to understand the process of sale thoroughly. You need to comprehend that, all proposals are not acceptable. The decision completely lies in your hand. You can either decline, negotiate or accept any offers that come in the process.
In some cases, offers can also be modified based on the requirements of both parties mutually. This particular process of making a deal is called a counteroffer.
Decide The Criteria For Sale
While you put your home in the market for sale, you would want to set criteria or baselines on which you’ll be proceeding. Set your zero’s top priorities. For example – if money is the point of inclination you could cut down on the selling duration to find the final offer, and so vice-versa. If time is your priority you could cut down the monetary expectations by selling your home fast for the least maximum gains.
Receive Comments Positively
As said in the very beginning home selling process is a very overwhelming process. As you are emotionally attached to the place you wouldn’t want to sell it. But nonetheless, it is just a deal that could favor you for life and would lead you to make wiser decisions.
Acceptance will lead you a long way. You would have to face a lot of criticism and welcome the negative comments of buyers. You would feel offended. For example – If your residence has exteriors that are aesthetically appealing but, as soon as you enter the house the view of the living area is shabby in such cases, buyers are likely to complain. Here, you do not need to lose your calm, this could be a sign, that the buyer is potential and has an interest in your property.
Opt For An All-Cash Offer
If you want to close the deal fast, it is highly advised to pick an all-cash offer. While walking on the track of an all-cash offer, the buyer would likely put a discounted price on the house. It gives the seller, an added advantage. It will remove hurdles like contingencies and waiting periods. Though it sounds all good and glittery, it is always essential to have your proof of funds letter accounting from the buyer’s bank or any legit lender.
Buyers propose a cash offer eventually to pay less for the seller’s property. They try to elude contingencies, prolong the time of sale, and pay hard cash immediately to close the deal. Also, remember the higher-priced offer may not always be the best one, you might want to think through the other terms as well. Accepting cash offers will let you be at peace, as the gains would be definite. If you want to sell your house fast for cash. You can get in touch with us, we buy houses within 3 days.
Net Proceeds
The amount that the seller is left with after cutting the expenses along with the closing cost is known as net proceeds. For example – If you receive an amount of 5,000,000 dollars as your closing cost, as a seller you would have to meet some terms of the agreement which will cost you dollars. If the cost of repair, inspection, appraisal, and some other terms cost you 500,000 dollars, the outstanding amount would be 4,500,000 dollars – this amount is known as net proceeds.
- Seller concessions
- Repair cost after home evaluation
- Repair cost post appraisal etc.
Given above are some of the primary charges that you may find in the contract which are subject to change accordingly.
Assess Contingencies
Contingencies are clauses that are present in the purchase contract. There are a set of standard conditions which must be satisfied, in order to proceed with the sale. The clauses are likely to vary from contract to contract or buyer to buyer. There are some basic requirements that must be taken care of before progressing to an agreement.
The listing below are some of the common contingency clauses –
Appraisal Contingency
An appraisal contingency is a standard real estate contingency. It allows the buyer to decline the contract without paying the upfront penalty, this case is only applicable when the appraised value of the assessed property is comparatively less than the purchase price. In such circumstances, the seller can ask for a refund of the earnest money deposit.
Inspection Contingency
Buyers have the right to withdraw the contract before providing the earnest money deposit. Buyers also have the entitlement of inspecting the property within the specified time period. This term is also known as due diligence.
Here, the time is usually between 5-7 days. The objective of inspection contingency is that it covers the buyer which helps them to back out of the deal or negotiate for repairs. A home inspector will inspect the HVAC, electrical, and plumbing systems. If the report is disapproved by the buyer, he or she could terminate the contract or negotiate mutually.
Financing Contingency
If your funds are likely to fall through as a buyer, you can terminate the contract and reclaim the earnest money deposit. This can happen if you don’t secure any finances in the given term period (the financing contingency or also known as mortgage contingency states the specific number of days when the potential buyer has to apply or obtain financing).
In such cases, the buyer can request for an extension, or according to the norms, the buyer will have to purchase the property regardless he or she has their finances on track or not. Hence, as a seller, it is always necessary that you comprehend the difference between a pre-qualified buyer and a pre-approved buyer (these terms are used interchangeably, which could also differ from the seller’s requisitions). Although, a pre-approved buyer is always in favor as they have a high chance to achieve a loan on a first-place basis.
Home Sale Contingency
In-home sale contingency the buyer has to sell their existing property and settle the finances prior to buying the new one (or your home in specific) what it does is, it gives liberty to the buyer ensuring they have the gains from their existing property, further to buy yours inclusive of no hassles. You can also buy and sell the property at the same time all you have to do is get in touch with ‘we buy houses for cash’ companies like ‘Elite Properties’, they will help you in order to satiate your requirement and get the work done.
In-home sale contingency a specified amount of time is provided to manage everything from selling and financing. But, it is not necessary that things would go on a definite path as there is a possibility of things might go according to the plan. In such a case, the buyer can back out if he or she does not achieve the desired amount of the existing property. Then, the buyer will not be questioned for terminating the deal.
The seller here furthermore has the privilege to drop the agreement if the purchaser’s house isn’t sold out within the specific time frame.
There is also an additional set of contingencies that are added based on the requirements of the buyer. Some of them are listed below –
- A radon examination
- Mold inspection
- Evaluate the presence of lead paint
- Radon in water
- Well water inspection
- Miscellaneous inspections or other contingencies
Be Interrogative
As money could be the leading aspect of selling a home. It is similarly significant to understand other related terms carefully before making a move. The real estate market is full of uncertainty hence it is advisable to be thorough with the know-how of the selling process.
Ask questions or make a checklist of terms that simplifies the home selling procedure. Check if the buyer is pre-qualified for a mortgage and has a pre-approval letter, this enables the seller to be at peace as the credit score, debts and available assets have been previously passed with an evaluation.
Provided below is a seller’s checklist that you might go through while selling your home –
1. What Type Of Mortgage Does The Buyer Avail?
Each mortgage has some terms of the agreement and prerequisites. There are mortgages that allow buyers that have a low credit score or even no money required for purchases. There are mortgages that will progress only when the buyer has a required or high credit score to make a down payment for the asset.
It does not matter on what grounds is the buyer obtaining his finances, as a seller it is only essential that the buyer has a fair amount of down payment that will provide certainty in the sale. Mortgages like FHA and VA loans have some requirements that need to be satisfied before sanctioning the loan. In an FHA mortgage if the requirements aren’t made the seller might find him or her in the chaos of making last-minute changes in the sale – the demands in a VA mortgage also stand the same.
2. Mortgage Commitment Date
A mortgage commitment date symbolizes the ultimate date of buying a home. As mentioned earlier the home selling process has contingencies throughout. The risks of a loan fall-through are unpredictable. Hence, it is necessary to have a mortgage commitment date. If the date lapses, the seller is entitled to keep the earnest money deposit.
3. Required Earnest Money Deposit
Earnest money deposit is the money that is held by a listing agent (escrow) until the sale closes. This money is kept in custody which ensures that the buyer satiates the conditions of the contract. If he or she fails to do so the money is given to the seller as liquidated damages. The typical escrow amount is 5% of the sale price.
4. Fix A Suitable Time
Home selling is a hyperactive-chaotic situation as everything is fast-paced. There is a spectrum of home selling bars where you need to fix a suitable time for each move from selling to moving further. It is advised to keep your plans settled as closing dates are usually the most critical aspect of the sale.
5. Mistakes in Contract
Mistakes in contracts show poor knowledge of a realtor and uncertainty of the buyer. Using white ink, re-writing, or over-writing on the contract is unacceptable. Dodging poor errors will provide you with an assured sale.
A Safe Conclusion For You
Covering many sub-topics, here is providing you with an effective method and tips to consider when you pick the best offer while selling your home. If you are living in New York City and require more assistance regarding the above or any other real estate crisis you can get in touch with a reputed real estate company like ‘Elite Properties’, we will provide you with thorough support and answer each query.
There are several reserves available in the market for all kinds of sectors. But, investing in a real estate market needs an accurate plan with prevailing methods of execution. One must have the best of both worlds that are, facts and capital that is required for purchase or investment. Most people spend in this market to receive hefty profits, while some of them invest to generate a passive revenue source. Investment in real estate has its peculiar flaws and strengths. Hence, it is highly essential to get them right.
Here are some points you may consider if you are thinking of making an investment in real estate –
Stating Below Are Some Pros Of Investing In Real Estate
Pros:
1. Easy To Understand
While speaking of dealing or investing in properties, information that people conceive is almost equal on a primary level. You need to dig in deep to be proficient in this market, which requires a lot of study and hands-on research. Though as simple as it sounds and as complex as it can be – investing in real estate is less complicated as it involves purchasing the property and selling it (if the investor wants to do a house flipping).
If you are investing in funds, you must know the number game really well, if you are into trading bonds the principle halts the same. Investments could be of any kind but, in every way, you would require fundamental math skills that help you in understanding the notion well and painstakingly.
2. Always Has An Improvable Side
Several other investments could bind you to certain limitations which you might certainly control whereas, real estate investments are more pliable and improvable. As being one of the tangible assets, it is evident to increase a property’s worth in all degrees, by using some ‘elbow grease and ‘sweat equity.’ It does not matter how the process of upkeep is – it could be structural or just maintenance of the assets.
The above reason makes investments in real estate improvable. If you are confused about the methods of investing in it, and you are residing in New York City, you can get in touch with ‘Elite Properties‘ they buy a house in an all-cash offer and bid the best deal every time.
3. Shield Against Inflation
The yields on real estate are allied to the rents, received from the tenants. Real estate has the head to strike inflation extra consistently than any other reserves, as it reacts in respect of it. It proves to be a good hedge against inflation, as rental properties are released every year (every 11 months), and rents are attuned upwards in the inflationary periods. Therefore, you are less worried as an investor in concern to the profits on the property.
4. Offers Security
Investing in land and assets like property always proves to be a gravy train in the scenario, which also provides you with a sense of security and bequeaths a legacy of your name. Also, investing in other possessions like gold or platinum might leave you bound by stress whereas, a property can’t be theft, so you have a sigh of relief, leading you to a much more peaceful future.
Hence, adding an extra asset to your prized possession list never does any harm, but on the other hand, it is profoundly important for the investor to research precisely.
5. Dual Income Source
Another added benefit of investing in a property is that you can receive profit every day, but how? Rental income – One of the good things about rental income is that you can earn profits out of it every day for a full year or as many years as you want, it also acts as a bonus if you have a full-time serving job as the rent supplements the income. While dividend stock yields won’t assure you big returns.
Investing in real estate aid in mounting equity as the flow of income is regular. You don’t have to pay extra charges for the upkeep of the property.
6. House Flipping
House Flipping is where you buy a property, rehabilitate it, and sell it to potential buyers. It helps you to ultimately attain a big profit edge on the amount you invested while buying. Buying a home, fixing it, and selling it could be too much. But, it could also help you receive big profits as the property you buy does not necessarily contain structural damage every time.
A smart investor will buy a house and do the cosmetic changes, repairs, and staging (if needed) to increase its worth in the market.
Don’t Oversee this while buying a property for a House Flipping..
There are also some points you can’t oversee while buying a property for house flipping –
- Understand, what kind of house or property you wish to buy
- Neighborhood / Locality plays an essential role
- The property should be handsome and could curb appeal
- It should have the least amount of fixations required
- It does not contain any mortgage left or unpaid
Always keep in mind that you are not the homeowner but an investor. No investor will spend on an ugly house for cash.
Stating Below Are Some Cons Of Investing In Real Estate –
Cons:
1. Greater Transaction Costs
When we compare buying or investing in property with stocks, there is a high chance of property winning the comparison. The size of the property including the category decides the listing price. Whereas, the amount on stocks will fluctuate for a shorter term (inclusive of the transaction cost) and promise you measurable gains.
The transaction cost of real estate is comparatively high, which transpires due to opacity in the market. Therefore, investing in the real estate market can significantly affect the value of the investment made. Ultimately making it more difficult to earn profits, as it is also tangible and requires ongoing maintenance for sustenance.
2. Illiquidity
The first question appearing in your mind would be, what is illiquidity? As mentioned above, real estate is a big market and a preferable option for investment to many. But, it also has some setbacks, and one of them is illiquidity. Trades in the market can be pretty tough as you tend to get fastened with a big price on the property.
Here, the amount invested in the property is returned, with a substantial loss of capital. Such occurrences happen due to the massive gap in the bidding price. This price is provided by the buyer and the investment price is set by the investor or seller. It is often tough to meet the price of the seller which eventually leads them to back out from the offer.
3. Requires Management and Maintenance
If you want to invest in real estate markets, make sure you balance the books well. As soon as you make an investment in a property, your expenditure increases inevitably. It requires maintenance and other foundations for the upkeep and improvements, for any glitches in the property. Investing in properties is like a progressive ladder of ever-increasing expenses if the house sits vacant for a prolonged duration.
Investing in a property requires an ample amount of capital, for legal and structural improvements. Charges like financing payments and taxes add to the increasing cost that also consists of maintenance fees.
4. Clutches Significant Inefficiencies
Including all the above disadvantages real estate also clutches inefficiencies, why? As the investor and buyer both mutually decide the value of the property. Here, the investors would face an unseen dilemma of not knowing the property’s actual worth.
It is essential to not go with the flow and check everything before proceeding. As the amount of information perceived is solely based on clauses given before signing the deal.
Most investors agree to the listed price and make an offer without carrying out a hands-on inspection of the property. For example – An investor purchases a property worth $10,000 and its actual worth could be $10,500 (this could be the best scenario). But, if you purchase a property as same for $10,000 whereas the price of the property is $7,500 then, this is a blunder and a significant loss. Therefore it is highly advisable to carry out an inspection before you make an offer. You must visit the site to avoid a huge mistake in the coming time.
5. Creates Liabilities
Being the owner of a property laterally brings a lot of liabilities on your shoulder. And legal issues come into play. As you own a property you are legally responsible for the damages. For instance, if the fence falls off on someone and the person is injured, you are accountable for the medical care of that person. You may also face personal injury litigation and attorney fees.
Take Away
All investments have their own set of pros and cons. One must know the ropes while diving in the ocean of real estate. A wise investor will make most of both pros and cons to employ maximum profit out of the investment. Moreover, you can contact reputed real estate companies in NY like ‘Elite Properties’ to help you in understanding – buying – selling of properties in NYC.
As we have taken a step in 2019, there are a bunch of questions that jump in every individual’s mind. Similarly applied to the real estate sector as well, do we see innovative opportunities coming in the market or it will be a downfall in the economy? As 2018 was a year full of developments and technologies, let us have a look at some real estate forecasts and predictions for the year 2019.
New Constructions
The real estate market is broad and demanding, and it becomes difficult for the Government to meet the requirements of the civilians. As there is a massive rise in the allowance of building permits, it is highly possible for us to see new constructions gaining numbers in a majority.
A study from the experts reveals, that the percentage of single-family permits issued nationwide has progressed by 8.4% compared to the year 2017 till 2018. The housing market is a gradually retrieving, and the process of filing of permits till receiving the end product consumes time, the market will eventually go through the lack of supplies leading to less listed homes.
New Technology Usage
Use of technology entices buyers. How does this work? Things like virtual staging, walkthroughs, and adoption of VR headsets – where people soak in the 3D visualization and experience of being in their dream home, capturing top shots of the property and landscape through drones – provides a 360-degree view and easy listing on MLS, using Chabot’s on websites and web applications for real estate which aids in saving money and time.
Added to these there is also a trend of Blockchain (is a stage where transactions or trades are carried, through digital currencies) which is growing immensely all over the globe, where people trade in Bitcoins and Ethereum (these are types of Cryptocurrencies that are operated on Blockchain). This platform is beneficial in many conducts as it offers smooth and transparent transactions and trades across the world digitally which involves less leg and paperwork. Here, you ultimately exempt the mediator and close deals directly with the third party.
Prefabricated Homes is the Future
Let us explain to you what are prefabricated homes in the first place – prefabricated houses resemble a 3D jigsaw puzzle, they are manufactured in parts offsite and then assembled onsite on the preferred location. Prefabrication is a construction technique which is fast and cost-effective compared to various other construction methods. Prefabricated homes are designed employing durable materials, offering high performance in concerns with the sustainability.
Facilitated entirely with amenities and luxuries prefabricated homes are a great choice to dwell for shorter terms.
Millennials, Above All the Generations
If your question is, which category of generation is flourishing as new buyers or investors in the real estate sector? The answer would be millennials. The millennials are currently the largest generation on the bar which has the maximum number of first-time home buyers in the real estate industry, calculated to be around 66%.
Millennials are smarter and much knowledgeable in comparison to the baby-boomers and Gen Xers when it comes to the home buying process. With the help of available technologies, IoT and apps millennials examine thoroughly to keep things streamlined before taking any step that might take them down in the pit of loss.
Substantial Increase in Mortgage Rates
A report from Mortgage Bankers Association states that the mortgage rates are currently around 4.9% (that is in the year 2018) and would stay the same in 2019 as well. The above-mentioned studies are based on the 30-year mortgage rates, as the rates would remain the same for a leading half of the year, they might also tend to jump thereby increasing from the current 4.9% to 5.1% as the year ends. According to the real estate market, it is a healthy growth but, as far as the buyer’s market is concerned, it would be an evident downfall.
According to a real estate forecast that was issued for the year 2018 (July) stated, the prices will continue to rise for the year 2019. As the past year experienced a rise of 8.1%, the experts foretold the rise will progress by 6.5% by the time summer arrives for the year 2019.
Sellers Over Buyers
As mentioned above, the increase in mortgage rates and a shortage of inventory recorded in the year 2017-2018 will generate a deficiency in the housing markets. All of the above will create an irregularity in trade, supply, and inversion of investing in real estate. Hence, the prices of properties will rise in 2019 affecting the affordability of buying homes.
In contrary, it is also a golden opportunity for those who are looking for an investment as there are many properties listed on the bar, you get hands on your dream property, which would eventually make you a smart buyer in the seller’s market. But the final word, 2019 is going to be a seller’s market and a gold mine for the ones who are listing their property.
Decide For Yourself
Addressed above were some real estate trends and real estate forecasts in 2019 that we might get to witness. The real estate market is very fragile and has a drift to fluctuate we will advise you to choose your purchases carefully, and not fall in the pothole of errors.
Else, if wish to buy or sell house in NY, you can reach a reliable real estate company like ‘Elite Properties‘ who will be happy to help you and sort your queries for the housing market.