despair for first time home buyers?

Question

What are first time buyers supposed to do in this climate of over-priced houses?

Answer 1

I have been in your situation years ago when buying
my house for the first time. I have been lucky to be able
to buy when house price was going up and sold before
the boom died out.
I am wiser now and know that I was lucky not to be burnt from this experience.
You need to identify when the boom has begun and search for an experienced and honest estate expert to assist you figure out when the boom is expected to go bust. Or alternatively you must understand that different type of property (meaning 2/1 condo, 3/2 private residence,2/1 apt., etc) perform differently during the time of rising property costs. So look for the property type that has not been affected too much while price rise - this again a good estate agent should be able to guide you.
Last option to consider: patience sometimes is the best guidance. Rent now and wait for the property bust if there's a reliable info. indicating that the bust is just around the corner.

Answer 2

Where do you live?

Most areas are oversaturated with new condos/houses right now and it is a buyers market. Many people who are trying to sell their home or condo are having a really difficult time selling, and are finding that they have to drastically reduce their price and/or offer closing credits/free assessments/upgrades/etc. to sweeten the deal and make their place look good compared to the competition.

My guess is that while the list prices of the houses you see on an MLS Search, Craigslist, or some other classifieds seem pretty high, most of these sellers are going to be pretty flexible about the price. Don't be afraid to make a low-ball offer - by 10 or even 15 percent off the listed price.

Answer 3

As a new home buyer, let me explain how this all works, incase you do not understand, as allot people do not.

If you just drive around and call an agent off of a sign from in front of a home with a For Sale Sign on it, that agent represents the Sellers and will be looking out for the Seller’s best interest.

A Buyer’s rep, will be looking out for YOUR best interest.

How do they get paid? – Good question that most people also do not understand.

No sale, no pay! They do not get paid by the Buyers, nor do they truly get paid by the Sellers. They get paid by what the Seller’s agent is willing to share with the Buyer’s Rep (Disclosed in the MLS) of what he or she is getting paid by the home’s owner.

Won’t using a Buyers Rep change the price we are going to pay? – The answer is NO and here’s why.

A Seller’s agent makes a deal with the Sellers to list, market and sell the home for a percentage, let say 6%. The Sellers are going to pay 6% no matter if a Buyer’s Agent is used or not. What it comes down to is, will the Seller’s agent keep all 6% by selling the home to a Buyer that has no representation, or keep only some of it by sharing it with a Buyer’s rep. Seller’s agents do this to get more people to look at the home and get it sold faster.

Answer 4

Don't despair. You will find something, or the market will change eventually. Just keep saving your money and be smart about the offers you make. When we bought our first house it was the most stressful thing I ever went through between not having enough money, finding something decent, bidding wars that we lost, securing financing, all the costs involved in closing, etc... But it all worked out in the end. So keep your attitude positive. It will happen for you. Just keep saving while you wait and maybe you can raise the money to look at houses that are just a bit more expensive. That opens up more options for the first time home buyer too. Good luck to you.

Answer 5

Hey

First you should find a quality realtor that can find you homes in the range which you are looking for. I have an extensive network of realtors all over the country that can help you out. Give me a call let's talk. I know this can be a roguh process but with the right professionals on your side it can be amazing.

My name is Humphrey Mitchell. I am a mortgage banker here in New York and I wanted to know if you have already been qualified for a type of mortgage program? We have programs for 100% financing with a credit scores as low as 580. We have been in the industry for over 15 years. I can help you get the best rate and the right program. If you already have a banker great too...I welcome the opportunity to beat his rates and programs. Hope to speak with you shortly you can reply to this message or give me a call directly at [phone]. Hope all is well and Good Luck!

Cheers,

Humphrey
------------------
Humphrey Mitchell
Co-Chairman/CEO

Turbo Financial Inc.
303 5th Avenue Suite 1809
New York, N.Y. 10016

Cell: (917) 337- 8670
Phone: [phone]
Fax: (212) 213 - 1257

Licenses mortgage bankers in NY, NJ, CT, CO, MD, IN and FL. We are direct lenders.

Answer 6

Gee, I don't know. Make more money. Or, buy a condo or town house. If you can't afford either, then you can't afford an actual single family home, and I guess you will have to rent. Actually, home prices are dropping in a great many areas.

Answer 7

good question
sometimes first time buyers are more appealing to a seller
though-if they are trying to sell their home fast-
the best thing is to offer a price much lower than asking
I am looking too, and I see the same houses listed for
many months-good luck

Answer 8

Work with your real estate agent and see if they can find a new development for you that has gone into forclosure. My friend deals with forclosures and she has said that there are a lot of builders out there that are having to forclose as they haven't sold any houses in the development. Sad deal.


Good Luck!

Answer 9

Look in areas that are not as high priced. Example; instead of looking in a posh suburb look in a more urban area. There are plenty of good buys out there.

Answer 10

More houses than buyers..thus supply exceeds demand..
wait and look...