Your Homebuying Guide for Fairbanks, Anchorage Real Estate
Research shows that more and more homebuyers are ready to buy a home this spring— according to MSN Real Estate, 17 million to be exact. That's one million more homebuyers than last year! But are they all prepared? The timing is right in the market to buy Alaskan real estate, given rising mortgage rates nationwide and housing prices that continue to increase, but is your timing right? Below are the top things you should keep in mind when buying homes in Anchorage or Fairbanks this year.
Commit to Staying Put
Do you have plans to move next year or don't really know what the future holds for your job location? Buying may not be for you right now. If you cannot commit to staying put for the next few years, hold off on your real estate purchase. The investment of a home will indeed grow over time and home equity is back in positive territory, but selling quickly may see homeowners losing money. If you can commit to staying in one place in Alaska, buying is a great option.
Spring Clean Your Credit
My previous blog post discussed cleaning up your finances for homebuying and that could not be more true. Before you begin the process of obtaining a home loan, make sure your credit history is as clean as possible. "A few months before you start house hunting, get copies of your credit report," advises CNN Money. "Make sure the facts are correct, and fix any problems you discover."
Know Your Budget
When preparing to buy a home in Alaska, you should know your budget and pick a home that you can really afford. You can use a mortgage calculator to get a handle on all of the costs involved with a home purchase, including mortgage rates, taxes, and expenses. These tools will help you visualize how your income and debts factor into the price of a potential home in Fairbanks or Anchorage. "The rule of thumb is that you can buy housing that runs about two-and-one-half times your annual salary," says CNN. But always consult your real estate agent to find out what is applicable for your specific area.
Team Up with the Pros
Here at Madden Real Estate, we can help you go over the timeline of buying a home and how the local Alaskan real estate market will function for potential homebuyers. Even though you may have access to homes on the internet, you're better off going through a real estate agent to get the insider's perspective on what's available. Especially if you're a first-time homebuyer, Madden Real Estate can help you find a property that meets your wants and needs.
Ready to start the process of buying a home in Alaska? Madden Real Estate can answer all of your questions! We look forward to hearing from you.