Online Real Estate Services Are Growing
You’ve no doubt heard of real estate trends and services like Zillow that let you browse or list homes for sale online. But did you know that online services offer to buy and sell your home?
Third-Party Buyer-The New I buying Trend Works Like This:
Talk to companies like Opendoor about the house you want to sell. They buy it from you, pour some money into reselling it at a higher price, and take care of all of the home finishing, including inspections, repairs, and displays.
These companies promise to be hassle-free and charge much like a realtor’s sales commission, but they’re not all about rainbows and sunshine. Some of these companies include an additional service charge (the icing on the cake) which can reduce your profit.
Using “Virtual” Agents
Hybrid services like Redfin aim to reduce the fees of traditional agents by doing the processing online. This provides a partial service similar to working with an agent at a fraction of the cost. Think of it as a middle ground between selling to a broker or selling yourself. But if you’re selling your home, be aware of the middle ground. Your home is your greatest asset and you get what you pay for!
Mobile or Online Degree
In related news, digital technology also makes it easier to process trade documents virtually. For example, many home transactions are now using e-signature apps and remote online notarization to streamline the process.9 In other words, this year you will not have to get out of your car or even take off your robe or slippers to get your home. can be bought and sold.
Risky Purchase Options are Now More Accessible
Alright, let’s take a look at other trendy and “creative” ways to buy a home (beware!).
Installment Purchase
If you’re dying to buy a home but can’t afford it yet, some sellers like Divvy offer installment arrangements. In this (bad) deal, you agree to rent a house for some time (months to years) before becoming an owner.
The “plus” side of renting homes is that you can move into the house immediately without waiting for the down payment. (But you know how we feel about this.) And you don’t have to qualify for a mortgage right away.
To the Point:
If you can’t afford a house yet, don’t buy it. Keep saving for that down payment and wait for your financial duckling to line up. If you’re motivated, it will come sooner than you think!
Advance
Another risky real estate trend to avoid is taking out a personal loan to cover your down payment. This is the equivalent of buying a house at a 0% discount. You’ll end up renting the full cost of the house, but from two different companies, he’ll be renting at two different interest rates (i.e. double the headache).
Buying a house with no money is never a good idea. Remember that you need a down payment that covers at least 5-20% of the home’s value. If you buy a home with less money, you will have to pay extra interest and fees, which will miss your other financial goals. Luckily, not many mortgage lenders allow this.
1. Equity Capital is Expected to Increase Slightly Compared to the Prior Year.
Experts have different opinions on how the market will develop. However, Freddie Mac believes house prices will continue to rise by 12.8% in 2022 and 4% in 2023.
If that’s true, it’s good news for you. Because if you decide to sell, you can make a good profit. And if you decide to stay? More Stock Means More Wealth! Keep monitoring the value of your home to see that your assets (the value of your home minus your liabilities) are increasing.
2. A Property Market Crash is Unlikely.
There is uncertainty behind everything that happened in 2020, and you may be wondering if the real estate trends market could collapse in 2022 as home price appreciation slows slightly. It’s impossible to know for sure, but real estate experts say a property crash is unlikely.
After all, buyer demand is high. However, the supply of housing offers is still very low. This keeps homebuyers competitive and keeps home prices stable.
3. Buyers are Interested Regardless of Your Neighborhood.
The recent surge in real estate prices may make some buyers less picky. In fact, a determined person might be willing to consider areas without easy highway access or close to major cities. If you think you live in an unpopular neighborhood, or if you think your home isn’t what buyers are looking for, think again.
Take Control of Real Estate Trends with an Experienced Real Estate Agent
Whether you are selling or buying, you can take advantage of current real estate market trends by working with an experienced agent. Try the Authorized Local Provider (ELP) program and find an entitlement agent.
