Buying a Home this Spring: Bright Spots and Challenges

     On Thursday, USA Today published a view of what many of this spring’s first-timers have
encountered in their inaugural home-buying ventures. Our own Kissimmee trends don’t precisely match those tapped by their research—but the themes cited in the national press are familiar here, too.
     Although the headline emphasized the difficulties those buying a home for the first time may
encounter (“3 Challenges Facing First-Time Homebuyers This Spring”), elsewhere in the piece, some
bright spots were acknowledged. For Kissimmee readers inclined toward a ‘glass-half-full’ point of view, they tend to balance out the familiar challenges.

     Bright Spots:

  • According to the Mortgage Bankers Association, affordability has advanced with the easing

          of 30-year fixed mortgages to a national average of 4.42%.

  • Inventory “has loosened up slightly.” This is a relative finding since the U.S. still lags in

          properties for sale (at least compared with the historical norm).

  • Prices. Price growth has slowed “and leveled off” according to the MBA.
  • Spring buying. Nationally, good, old fashioned negotiations have replaced the frenzied

          bidding wars of last year. But USA Today isn’t calling this spring a buyer’s market—only

          one characterized by fewer competing offers.

Challenges:

  • Home prices. Prices are still relatively high—especially for those buying a home for the first

          time. Since they can’t count on the equity built by their current property, scrambling for a

          substantial down payment can be a barrier.

  • Securing a loan. In March, the FHA said that it is tightening its rules for high-risk

          mortgages. As is generally the case, this can provide a hurdle for first-timers.

  • Inventory is still tight. Some finger-pointing is aimed at the home construction industry,


          which is only now rebounding from the recession-spawned falloff in new home starts. Entry-

          level housing ($200,000 and less) is the sector hit hardest.

Buying a home in Kissimmee may take more determination for first timers—but that doesn’t mean
it isn’t well worth the effort. Whether you are a first-timer or a long-time homeowner, give me a call for an in-depth discussion of the possibilities presented by this spring’s many offerings!

Prepared by James Williams, Realtor; Office Manager; and Top Producer at REMAX Premier Properties. He focuses on helping sellers and buyers in the Central Florida Market www.HomesInMyOrlando.com James has served as a Board Director at the Osceola Association of Realtors ‘15 - ‘18, and as a State Leader for Florida CRS - Certified Residential Specialist ‘15 - ‘18. Contact him at 321-402-6261 or jaw3remax@gmail.com

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