The holidays have a way of making people dream of a better life. For some of us, a better life means being a new homebuyer. Whether you’re dreaming of a two-story brownstone or a home overlooking the countryside to call your own, most don’t know when it’s the right time to buy a new home. From having a secure financial footing to understanding the current trends of your local housing market, there’s a lot to know. At DEXSTA, we’ll help you know when it’s the right time to buy your perfect home.
Buying a New Home is All About Timing
It could seem obvious, but we don’t recommend buying when home prices are skyrocketing. If you time the market right, you can buy a new home at a low price.
In 41 of the 53 markets Realtor.com analyzed, the first week of fall is the best time to buy. An average of 6% of homes in the U.S. housing market experienced price reductions, making them 4% cheaper than their highest peak.
Whether local homes are experiencing a lull or you’re buying when interest rates are low, these factors will influence one of your life’s most expensive decisions.
Pre-Approval is an Opportunity
The best time to buy a house? When you’ve got the funds for it. Before you start house-hunting, you should get pre-approved for your DEXSTA mortgage. No one wants to fall in love with a home only to discover they can’t afford it. This pre-approval process will determine how much house you can afford. Homebuyers should consider three times their annual income as a starting point.
Check-in With Your Credit Score
Your credit score is essential for buying a home through a loan. After all, lenders need to know whether you’re good for repaying your loan or not. And DEXSTA’s home loans are no different. According to Nerdwallet, if you have a low credit score below 620, it may not be the best time to buy a new home as lenders are unlikely to deliver you with the loan you need.
Fortunately, not all is lost. You can build up your credit score through a variety of strategies that will help you qualify for a better interest rate, cheaper down payment, and the loan you want.
Confirm Your Down Payment
If you’re like so many other Americans buying homes through a mortgage, you can put a down payment on a house with DEXSTA. Whether you’re planning on buying your first home or considering a move, our mortgage loan officers will assess your financial assets.
Most people think you need to put down 20% on a house to call it home. As it turns out that’s not true at all. These days, first-time homebuyers only need to put 3% down on a property to call it home. And the average down payment nationwide is 10%.
So, once you have that 3% down payment ready-to-go, you may be ready to buy a new home.
Get In Touch With Our Lenders
In the end, no one can tell you when it’s the right time to buy a new home. It’s a decision you need to make on your own—but we’ll help you out along the way. Our DEXSTA loan officers can bring you that much closer to celebrating the new year on the right foot. And who knows? By this same time in 2020, you could be celebrating the holidays in your new home.