Real Estate of Mind - Fear of Buying

HONOLULU (HawaiiNewsNow) - Many people want to buy a home, but common fears hold them back. Nancy Metcalf, a Realtor with Coldwell Banker Pacific Properties joined us on Sunrise this morning with some tips to help you address those fears and enjoy the rewards of home ownership. Check out the video and Nancy's outline below.

  1. Home Value: Will I be paying too much for a home? Is it the right time to buy?
    1. The real estate market is cyclical—home values go up, then drop a bit and then rise even higher over time. This has been the history of real estate value for decades.
    2. Trying to time the market is virtually impossible. You don't know when a down cycle has ended until the market starts on an upward cycle. You've missed the bottom and now wonder if it's too late to buy.
    3. If you are going to stay in your home for more than just a few years, you can quite confidently ride out market cycles knowing that long term the value is there.
    4. Owning a home is more than an investment. It is your home and the place you build your life and your memories.
    5. Interest rates have a major impact on affordability. Do not miss out on historically low rates. 
  2. Getting the Perfect Home: What if a better house comes on the market after I've committed to one?
    1. Envision yourself in the home you want to buy and take pictures of the features you love to refer to often.
    2. No home is perfect. There is always something you will want to improve and that's much of the gratification you'll get by being a homeowner.
    3. If you have serious reservations about a house, keep looking. Buying a home involves a series of actions and decisions and if your discomfort grows, you may look for reasons to get out of the contract, costing you time, money and hassle.
  3. Competing with Other Buyers: How can I be the accepted offer?
    1. Understand how the home is valued by reviewing the values of comparable homes.
    2. Learn what the seller's motivation is, if you can. Are they mostly focused on price, speed of closing, finding a buyer who will love their home as much as they do? This will help you understand what they will value in your offer.
  4. Example property: 1022 Kalahu Place, 4 bed/2 bath, $949,000 FS

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