3 Tips to Navigate Today’s Home Buying Economy

  • April 26, 2024
  • Financial Partners Credit Union

3 Tips to Navigate Today’s Home Buying Economy 

In California, discussing the housing market can be as sensitive as other taboo topics around the dinner table. Everyone has an opinion, and no one can agree on the best strategy. We understand—the housing market is an ever-changing landscape, and many buyers find themselves overwhelmed trying to navigate a maze of options and challenges. However, there might be a way to outsmart the market by working with your local Credit Union as you begin your home buying journey!

Understanding the Current Housing Market

We don’t need to be the ones to tell you that over the past few years, the housing market has been a whirlwind of fluctuating mortgage rates, inventory levels, and evolving buyer preferences. Despite these changes, and let’s face it—frustrations, one thing remains constant: the desire for stability and reliability, especially when it comes to financing a home. However, buying a home today is vastly different than it was even 3 years ago. Between navigating new technology and the fluctuating economy here are some tips to outsmart the housing market.

The (Housing) Struggle is Real

  1. The Paperwork: Obtaining a mortgage involves extensive paperwork and tight lending standards. Gone are the days of a simple preapproval letter for a mortgage, today buyers are advised to gather detailed financial documents early in the process to avoid delays. Even before heading to that open house, lenders advise having detailed conversations discussions about a loan. To make the process smoother, some lenders have platforms that will tailor a custom made checklist of documents based on the information buyers provide in the application. Be advised that you may need to undergo a detailed review of your finances to ensure all boxes are properly checked for the process to kick start smoothly, but the right lending team will make this process as painless as possible.
  2. The Hunt: A common phrase heard around early spring into summer was “house hunting season.” Today, seasonality in the real estate market has become less important, with economic news driving buying trends. As a buyer, caring about details such as commute, walkability, and local eateries and grocery stores all makeup your decision to move which can draw out the decision to purchase. Take your time and watch how the market reacts- it could align for when you finally find your dream home.
  3. The Negotiation: Technology has rapidly changed how negotiations are handled. The availability of real estate data online gives buyers access to information like price history and market value, giving them leverage. Today, you can view the exact history of the property, purchase dates, and reviews of the area (Are the schools promising? What about the noise level?) Use these tools to your advantage and compare similar properties to help predict buying trends - and ultimately the contract.

The Path to Homeownership Starts Here

Ready to outsmart the housing market with Financial Partners? Contact us today and connect with one of our Mortgage Loan Consultants to help you spend less time doing paperwork and house hunting and more time moving into your dream home!