Right Now Might Be the Best Time to Buy a Home
When the market is changing, it throws home buyers' plans into disarray. Suddenly they are no longer so confident in themselves and hesitate whether to proceed with the process or not. Even if there is actually a real need to buy, people still take a wait-and-see approach.
The reality that people must face is that their expectations can be misleading. For example, hesitant buyers think that prices will go even lower. This certainly holds true for property that is already overpriced from the start and may also apply to other offerings, but price correction has already taken place and good homes' prices cannot go much lower (if at all).
There is room for negotiation
Although this does not yet directly show up in the statistics of completed transactions, real estate that has come onto the market now is already priced at least 5% lower to attract interested buyers.
Real estate owners who actually want to sell are facing a choice, as they do not know whether prices will go even lower or not. So if they manage to sell now, they will do it. This in turn means that they are prepared to negotiate. Potential negotiating room depending on the nature of the property is currently 4-7% of the purchase-sale price. So the price gain for the buyer can be well over 10% in total.
Although banks have already started being more selective with clients, financing terms have not yet changed and it is still possible to take out a home loan on favorable terms.
Therefore, it is not rational to wait long with a purchase. Prices will start rising sooner or later and right now may be just the right time to look around and purchase a suitable home.
When the market stabilizes and the first signs of improvement appear, buyers will no longer have such good opportunities. Sellers understand very well when they no longer need to make concessions. Increased demand will then again create a situation where buyers have to start competing for better homes.
Article source: Uus Maa Real Estate Agency
