So you’re thinking about buying Kansas City Real Estate in 2023… where to start?
I’m sure you’ve heard the stories: interest rates spike! Home prices spike! We’re in a recession! We’re in a housing bubble! The housing bubble has burst!
I guess some of these things are… kinda true. What you don’t hear is: many of these things are seasonal and short term issues. I have people asking me constantly: is this year a good time to buy real estate? The answer is: it depends on your situation.
Here is my advice for each situation I come across, and what your next steps should be.
You’re renting and ready to buy your first home.
Think about it: each month you’re paying someone else’s mortgage. Or you’re padding their savings account. Either way, you’re paying for a roof over your head, yes, but each month that money is gone.
What if I told you for only 3.5 to 5 percent down you could buy your own home? It’s true. Plus you get all the benefits of owning: freedom to decorate, equity, tax breaks, etc. If buying a home is one of your goals for 2023, start by talking to a lender now-even if you’re months away from starting to look, or need to save up more money. One of my lending partners, Jim Kolich with Fairway Mortgage, will work with you to create your custom Pre-Qualification Playbook to help you get where you need to be whether it’s deciding what you can afford, building your credit, building your savings, or choosing a loan type.
Oh, and higher interest rates? Not a big deal… they are projected to drop a bit, so go ahead and buy that house-there are always options to buy down the interest rate or refinance the loan to a lower rate. This is where an awesome lending/realtor team comes in.
You’re looking to downsize/move on up.
So you’ve owned your house for a number of years and it’s time for a change. I’m sure you’ve heard “prices are down! Rates are up!” While this is true, it doesn’t mean you aren’t still earning equity in your home. “Prices are down” does not equal depreciation in home value over the long-term. If you’ve been scouting the sites dreaming of a change, go for it! You have options when it comes to selling and purchasing.
Shane Martin at Movement Mortgage, is a great resource for helping decide what the best move is when it comes to selling/buying your home. If you’re worried about having the downpayment and selling your home quickly, you can recast your mortgage-which means adding to your downpayment/taking money off the balance of your mortgage after closing on the purchase and sale of another home to update your amortization table and reduce your monthly payment. Sounds complicated-right? That’s why you need a great lender who can walk you through it.
If you’re not sure what your home is worth, contact me and I’ll give you a free CMA (comparable market analysis) to give you an estimate of what your house would sell for RIGHT NOW. Don’t rely on internet sites’ estimates of your home value: Have they been inside your home? Do they know about the specific area? No. The best way to know what your home is worth is to have an expert who works in your market take a look at it.
You’re an investor looking for your next deal, or you’re looking to get started as a real estate investor.
Kansas City is a great place to invest in real estate. We’re growing in so many ways. Real estate is a great way to grow your wealth and provide for future generations of your family.
There are many ways to get started in investing: buying a rental property, flipping a single family home, creating an ADU on your existing home. Whether you’re looking to hold a property long-term or short term, I have the resources to help you figure out the best way to financially get started as an investor. And, as an investor myself, I have the experience to help you analyze properties and decide which strategy makes the most sense.
The easiest way to get started is to refinance your primary home through either a HELOC (home equity line of credit) or cash-out refi. Any lenders on my resources page will guide you in the right direction. If you’re looking for hard money or creative financing options: call KC Investor Funding. You’ll pay a little more in fees and interest, but you'll have more flexibility.
I’ve helped investors buy single family flips, single family rentals, small multifamily homes, commercial buildings, and larger apartment buildings with 25+ units, so give me a call if you’re looking to get started.
