Given 2022’s highs and lows, many buyers and sellers have questions about the conditions and trends of the current real estate market and what that means for their home transactions. Those searching for or listing properties in areas like Brandon, FL, can find answers to these five most googled real estate questions in 2022.
Will the housing market crash?
Buyers and sellers across the country were worried about a housing market crash due to large cooling trends against the backdrop of 2021’s buying and selling frenzy. However, a housing market crash next year isn’t predicted to happen, as the current market conditions don’t align with a housing bubble. Instead, markets will continue cooling as an effect of rising interest rates and decreased demand.
Characteristics of a housing bubble include low availability of affordable homes, high mortgage rates, low inventory, home price increases outpacing inflation or income, and predatory lending. Although some of these characteristics align with the current housing market, the market doesn’t exhibit all the characteristics.
Do I need to work with an agent?
Agents offer several advantages for buyers and sellers. Sellers trying to list their homes without professionals like the agents in The McIntosh Group will find it more difficult to sell, as buyers’ agents are less willing to work with an FSBO seller. Additionally, they may make more mistakes related to legal rules and regulations, miss-steps in the selling process, and be inexperienced in making negotiations with buyers’ agents.
Sellers who work with agents benefit from their wealth of market information and connections, which help sellers price their homes competitively and prepare their properties for the market. Buyers working with agents will benefit from the tools they have, such as broader access to all the listings in the area, their knowledge about certain neighborhoods and the locality, and skills with negotiation and closing steps.
How do I look for a home?
For new homebuyers especially, it can be difficult knowing how to start a home search. There are several ways to start a home search, although it’s best to reflect on what you want from a property, understand why you’re buying, then research the location. Consider if you’re buying to upgrade from your current property, are interested in an investment property you can rent out, or are searching for a vacation home. Then, consider how large you want the home to be, if you want to live in the city or suburbs, and what amenities you expect from the area.
Those searching for Brandon homes for sale have plenty of great communities to choose from. Luxury neighborhoods like Brandon Pointe provide a range of high-end townhomes and apartments with access to community amenities. For spacious properties perfect for large families or storing recreational vehicles, the newer homes in Arbor Oaks offer extra space and fewer technical issues that come with older properties. Buyers narrowing the neighborhood they want to live in can work with an agent for more in-depth information about Brandon’s communities.
How do I search for a mortgage?
Another common question for buyers starting their home search is how to find and choose mortgages. For first-time buyers, navigating the mortgage process can be confusing, although experts like an agent can guide you to local lenders. Buyers using a mortgage to finance their property should apply for mortgage pre-approval before starting their search, as doing so strengthens any offers you make. If you get preapproval after finding a property, the home you wanted may not be available when the process is completed.
Interest rates in Florida are currently 7.16% for a 30-year fixed loan, and 6.42% for a 15-year fixed loan, although those searching for properties in Brandon should research different lenders’ rates, as well as the loan type that best aligns with their needs. When buyers find a home they love, they can finalize the mortgage during closing. Preapproval doesn’t last forever, averaging about 90 days. Buyers who need extra time in their home search can apply for an extension to renew their preapproval.
How do I find someplace to live after selling?
With tight inventory in 2022, a common worry with sellers is finding someplace to live after closing on their property. Sellers listing their Brandon homes for sale are likely to feel the impact of low inventory, as the month’s supply of inventory in the county is 2.2, well below the favorable 5.5 months. However, inventory is on the rise, up 144.4% since last year. Those worried about finding a place to live after selling have less cause to worry than earlier in the year.
There are also ways to better align your home sale with a home search, like through a home-of-choice contingency. This provides you with a set amount of time to find and secure housing after your sale. If you can’t find accommodation, a contingency can also free you from completing the sale. Another option for sellers is a 60-day rent-back time from the buyer, providing housing and time to find a property and move into it.
Ready to buy or sell your home?
Entering the world of real estate can be tricky, especially if you aren’t familiar with all its terms and trends. When you’re ready to start your home search or sale in Brandon, contact the experienced local agents of The McIntosh Group to guide you through the process.