Despite inventory shortages, homebuyers looking for bargains this winter

0 Flares Filament.io 0 Flares ×

02

 

Courtesy of: Inman News

Prospective homebuyers hoping to buy a home in the next four months say the lack of inventory is their biggest challenge, but many believe winter is a good time to buy because sellers are motivated to sell and more willing to negotiate.

That’s according to a survey of more than 1,300 visitors to realtor.com conducted from Nov. 7-16, which found 45 percent of buyers in the market said there’s not enough inventory in their price range.

The survey also found that a surprising number of prospective homebuyers — 19 percent — are planning to do all-cash deals.

Of those planning to buy without taking out a mortgage:

29 percent said they are downsizing to a smaller or less expensive home.
26 percent are relocation buyers.
11 percent are moving up to a bigger or more expensive home.
11 percent are buying a vacation home.
But most of those surveyed said they’ll need a mortgage to finance their home purchase. Among that group, most did not have the 20 percent down payment that would allow them to qualify them for a conventional loan backed by Fannie Mae or Freddie Mac without having to also purchase mortgage insurance.

More than 1 in 10 of those surveyed (13 percent) said they were planning to put just 3.5 percent down (the minimum down payment on FHA-guaranteed loans). Only 22 percent said they’d be able to make a down payment of more than 20 percent, which would allow them to avoid purchasing mortgage insurance.

– See more at: http://www.inman.com/2013/11/20/despite-inventory-shortages-homebuyers-looking-for-bargains-this-winter/#sthash.46HH3qpH.dpuf

About The Smits Team

"Every morning I’m reminded of how incredible this place is, and nothing makes me happier than to help my clients make the most of their real estate opportunities here.” Amy Smits understands the value of living in a place with wide-open spaces and limitless opportunity. And as a real estate professional serving the Eagle County Colorado area, her passion for sharing everything this place has to offer is what drives her to help her clients succeed. Whether you’re looking for a home for your family, an investment property, or you want to sell your current home, look no further than The Smits Team. They're passionate about Seizing Opportunity in Eagle County real estate.
This entry was posted in Tips & Information and tagged , , , , . Bookmark the permalink.