Buying a House in a Recession

Some sobering news is making headlines: recession may be possible in the next couple of months. That is depressing for someone who is hoping to purchase a house and people looking for their first home are wondering if they should hesitate. Well, there are ways to buy a house, even in the middle of challenging economic times.

Plan Your Approach

Here are some ideas you can use.

Do Your Research

It is essential to research a house before making an offer on it. Check out any online reviews from previous owners and look up information about the crime rates in the area or any planned construction nearby that could impact the value of the property. Be sure to have any inspections done on the house before signing anything. That can save you from costly repairs down the line.

Be Creative with Financing Options

If traditional financing is not an option, get creative! Look into alternative options, such as government grants or loan programs, which could help alleviate some of the burdens of buying a home during a recession. If you are going to request a loan from somebody, be sure that there is legal documentation to be signed by both parties that spells out how the loan will be repaid, and that the agreement is contractually binding on all parties involved.

Know Your Financial Wellness

Before you start house hunting, it is essential to assess your financial wellness. First, take stock of your current income expenses and compare them with the recent trends in the housing market. Then, investigate any additional costs associated with owning, such as property taxes, insurance, repairs, etc., And create an emergency fund should you need it.

Consider Fixer-Uppers

Since many people are hesitant to invest in their property during recessions, more fixer-upper properties may be available at discounted prices than usual; these could be great opportunities depending on how much work needs to be done and how capable you are of taking on those projects. In addition, the money saved from having fewer repair bills upfront may be helpful later when building equity in your new home.

Seek the Help of Professionals

The kind we are talking about is from those familiar with financial wellness strategies. These people can direct you to the right type of financing and assist you in developing a workable budget that can cover recurring expenses such as mortgage payments. Countrywide Pre-Paid Legal Services offers an employee benefit that concentrates on an individual’s financial wellness. We also have a unique benefit for first-time homebuyers.

The Countrywide Way

Our nationwide network of certified counselors helps employees with everyday money challenges. For example, counselors can help develop a personal budget, give ideas on how to manage medical bills, and face college debt payments, among other services.

Our home buyer program, “Make Your Move,” is intended to assist a first-time homebuyer in making necessary decisions for that sizable purchase. This is a self-study course that acquaints a person with all the essential aspects of buying a house. Our counselors give experienced advice and perform a budget analysis for a plan member. The results are somebody who knows more about buying a home and how to finance the ownership.

We have a counselor in every community where there is a Countrywide client. The clients help us create their own financial wellness program, and we provide administration and member services. Best of all, our counselors are experienced professionals with considerable empathy. We expect them to listen carefully to every financial wellness plan member and treat each member with courtesy and respect.