A lot of people ask me whether the housing market can sustain its current trajectory, or does it feel like we are on the precipice of a bubble much like 2007-2008. From my point of view, things remain a seller’s market, especially as inventory and interest rates remain low. In New York City, recent sales reached the highest total of tracking in 32 years. This was driven by low mortgage rates, vaccine adoption and improving economic conditions.

While there may be a few indicators that the price of homes will slightly decrease in the immediate future, I see this as more of a leveling out than I do anything to be worried about. In fact, I anticipate that the buying pool should continue to grow and the housing market may even become stronger, especially now that European travel to the United States has resumed. By many accounts, I believe this influx of tourism and business travel will lead to even more domestic home buys. Then, there are traditional drivers such as couples buying a home together.

While real-estate purchase tends to be a long-standing dream of many, the aspect of mortgage remains a major financial consideration. Thankfully, financial instruments like mortgage protection insurance exist to protect lenders from failed investments, as well as borrowers from the unfortunate circumstances such as disability, hospitalization, loss of employment, etcetera that could result in non-payment of mortgage. Those interested in taking this route may find a mortgage life insurance calculator very helpful. Thousands of factors might be considered when a mortgage protection insurance agent calculates your policy with an actuary. You can only control so many of the factors that can determine your premium costs as an applicant. Other uncontrollable factors, such as location, gender, and genetics, might have an impact on your insurance costs.

If you are thinking about buying or renting a home, there are some things you can do to make the process as seamless as possible. First and foremost, take a look at various articles for tips on buying a new home like this one https://yoursouthtampahome.com so that you cover all the bases. Secondly, make sure you have a good credit score. If there is anything on your credit report that needs attention, clear that up. With a good credit score and zero debts, you are more likely to qualify for home loans, or if you are planning to rent a place, then you would have an easier time clearing background checks and other tenant screening processes carried out by various associations similar to the AAOA (https://www.american-apartment-owners-association.org/tenant-screening-background-checks/). Next, meet with the bank and discuss the pre-approval process. Be prepared with all the necessary documentation needed to get approved. Different lenders offer a multitude of options when it comes to loans. And the low-interest rates increase your buying power. Do your research and find one or two potential loans that best serve your needs. Developing a good relationship with your loan officer can make a big difference in how smooth the process goes.

I also recommend finding a real estate agent that specializes in the area you are seeking to move to. Say you are interested in moving to Charlotte or in its neighborhood, you can connect to a few Charlotte real estate agents to help you understand the current market and guide you through the whole process of purchase. These agents know their market and will be able to find what you are specifically looking for. This is important but sometimes overlooked. Hone in on one or two specific areas that you prefer and make sure you have a “wants and needs” list. Do not let “perfect” be the enemy of “good.” Likely, most homes you see won’t have everything you want, so think about the quality of life too. Consider access to transportation, do your research about living in that area, and if applicable, how is the school district?

As you begin your search, find a real estate attorney who is willing and able to work with you. With the record number of deals being done right now, you want to make sure you have the right attorney on your side. Finally, when you find a home that you like – be ready to quickly close. Make sure to have somewhere between two and five percent of the loan for closing costs.

With the record low level of interest rates and the Fed recently advising that they are holding off on raising them, now is still a great time to buy.