First-time homebuyer Philadelphia

[Anthony P.]

Hi everyone, 

My wife and I are looking for our first home in Philly. We like Mt. Airy the most so far. My concern is the pending recession which I feel we might be entering at the moment. What's the feeling out there with offers, is there more negotiation power for the buyer yet? Has interest rate increases affected potential buyers in your experience. 

Basically, do you think better deals can be had by being patient a bit longer?

[Tom Doherty]

@Anthony P.

Welcome to BP!

I have worked with first time home buyers before, I also purchased my house around the corner in East Falls not too long ago. In my opinion and experience with submitting offers for first time homebuyers is that it depends on who the seller is? For example is it an estate sale where the children are selling the property and might be okay to sell it below market or are you buying from someone who just wants to make their money back and is not willing to negotiate.

To your question about seller assist, again it depends on the seller and their situation. In my experience, seller assist is very common. Lets say after looking at comps in a specific area, the house is priced under market and your financially okay with the price but want seller assist, one strategy might be to come in closer to asking and request seller assist ( max 3% for conventional and 6% FHA but confirm w/ a mortgage broker first)

There are always deal out there. The philly market is hot right now but the question is, do you buy a rehabbed property which is usually priced at the peak of the market or do you find a fixer upper and negotiate down. Depends and you and your wife's need.

I am more than happy to answer any additional questions for you. Let me know!

Thank you.