What Makes People Hesitate To Buy A Home?

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Some of the factors that have, previously, made people uncertain about buying a new home are still prevalent in the market. One of the biggest reasons, however, has become much less of a problem over the last year and that should be great news to homebuyers. The real estate market in Phoenix changes very fast and, with it, one of the strategies that people are using-holding back for a better price- that may be causing them to procrastinate in buying a house is more of a hindrance than anything else, given the way the market is developing.

Economic Anxiety

Realtor Mag reports that financial self-doubt is still the largest hurdle to people purchasing a home. Anxiety about employment, income and all of the other factors that go along with that are causing people to be reluctant about buying new houses. This barrier is still a powerful one for many possible homebuyers, though the financial outlook has gotten better over the last couple of years and the real estate market will soon exhibit as much.

Selling Homes

Selling their current house is another reason that some people are holding back on buying a new house, according to Realtor Magazine. This, however, may be one determinant that is about to become different in the North Phoenix real estate market.

Over the last couple years, people have witnessed home costs go up and bidding wars break out over homes repeatedly. For people who have been uncertain about purchasing a new home because they were worried about being able to sell their old house before doing so, this concern may in the very near future be one that they no longer have to contend. Not only have bidding wars over homes become more fierce recently, the price ranges at which bidding wars have started have continually gone up, demonstrating that demand is increasing across all price ranges of the market.

Financing

Realtor Magazine also disclosed that getting mortgages is a big concern among future homebuyers. Again, this may be about to cease as a dominant obstacle. According to the same reporting, over 60 percent of homebuyers reported that getting mortgages was an issue in 2010 and 2011. So far, in 2012, fewer than 50 percent of people have reported that getting financing is a dominant issue for them and now report that financial insecurity is more of an issue.

The Real Estate Buyer’s Agent Council recently reported the results of a survey where buyers agents communicated that there was a 59 percent increase in buyer inquiries pertaining to properties in comparison to the same time last year. Combined with the fact that homes are still selling for very affordable prices and the fact that mortgages are available at extremely low interest rates, the above mentioned deal breaking determinants for homebuyers may be about to be altered drastically. With the realty market getting better, the overall economy improving and low interest rates being the norm, becoming a home owner in the current real estate market may be a very astute move economically for those who have been looking for a new house.

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