Real estate professionals in Boulder County, Colorado help first-time homebuyers break into the entry-level housing market even with the shortage of entry-level homes. As far as what to ask when buying a home in a low inventory environment, start with your timeline as well as priorities. Throughout most of Colorado and the country, it’s difficult to find a home in the entry-level segment. According to a recent article by CNBC’s Realty Check, the supply of houses throughout the country fell 9 percent compared to a year ago. For sellers, the good news is it only took an average of 29 days to sell a home. In fact, the number of days to sell reached the lowest since 2011 when the National Association of Realtors started tracking the data.
Should I come up with a huge down payment?
Since there is a huge demand for homes priced less than $250,000, one solution is to ramp of savings to afford a more expensive starter home. In order to qualify for a more expensive home, boost your earned or taxable income, reduce debt and build up a larger savings. For some buyers, it means asking friends or relatives for financial gifts, tapping the contributions to a Roth IRA but not touching the earnings or selling an expensive car or personal items. Research showed sales of homes priced at less than $250,000 fell more than 6 percent, while homes priced less than $100,000 fell 17 percent. In Boulder County, the entry-level home prices are significantly higher than the national average, but home buyers still strive for deals.
Can my agent find me several backup choices?
An experienced Boulder County real estate agent knows about homes going on the market before the listings hit the Internet. By working with a good agent, it’s easier to compete as more sellers receive multiple offers on homes. Also, talk to your agent about several back-up choices in case you don’t win a bid. Consider homes that require some repairs. First-time home buyers often prefer move-in ready homes, but it’s not always a realistic expectation. The key is to communicate top priorities and needs with your agent to save time.
At Laura Guerra Real Estate, we answer any questions you have about buying or selling a home in a tight inventory environment. For more information on buying a home when inventory is low, please contact us.