Real estate tips for prospective home buyers

Steve Rife and his family moved to a home in Winchester, Massachusetts, last November.

He bought the house back in October — right when interest rates were nearing a historic 8%. He says the house was exactly what they were looking for.

"There was a window where the interest rates went up enough that prices started coming down a little bit," said Rife.

He and his wife decided to take on a higher rate and put in an offer on the home, below asking price.

"We were surprised that we did get accepted," he said.

Rife tell us what they're paying for now is just interest. But he hopes interest rates go down soon, so he can refinance.

"It's almost like we're renting, but we're getting a little bit of equity," said Rife. "It's going to be a long time before we own the equity in this house."

Phil and Carolyn Sheehan are with Compass Real Estate. They helped Rife in the sale.

"It was a tough year because of the interest rates. But last fall, things kind of slowed down a lot," said Carolyn Sheehan.

Both note there are simply not enough properties on the market in Massachusetts to meet the demand.

"Right now, the inventory, it's actually anemic. That's why you're getting 100 people walking into a house," Phil Sheehan said. "All of a sudden, something nice comes on. So they go over there, and it scares a lot of them off. And some of them might have been able to buy that, but they don't want the competition."

He insists prospective buyers shouldn't be intimidated by competition or what they read about the state of the national housing market.

"We have never had the negative impact in this area that other states have had," Sheehan explained. "This is very, very, very local real estate."

Both real estate agents expect to see more activity during the busy spring buying season.

To help navigate the market this spring, prospective buyers should first sit down with a financial advisor to review their finances. They can help determine what you can afford.

Once that's set, get pre-approved for a mortgage — this can show a seller you're ready to act.

Most importantly, keep your eyes on prizes. With the right preparation and team, you could land the home of your dreams.

"It's very important to make sure that you understand exactly what it means to be a homeowner," said Sean Valiton, the senior vice president of sales and new business at Leader Bank. "We spend a lot of time explaining that to clients and to borrowers to make sure that they know that they have what they need to be confident."

Rife tells us he doesn't regret buying the home and looks forward to making new memories with his family. He has one piece of advice to first time buyers in this market.

"There are ways to find houses which not everyone else is looking at. And I think that's kind of the key to finding something that doesn't get into a bidding war," he said.

He recommends looking at properties that haven't been remodeled and homes that aren't staged.

Staged homes can come at an increased value and usually spend less time on the market.

You can also set up property alerts — that way, you can get instantly notified when a price drops or a home goes on the market.