Industry All-Star – Debbie Cosic CEO and Founder, In2ition Realty

Housing supply, rising interest rates, affordability, inflation, the economy… homebuyers have a lot to think about these days, when it comes to things that may impact their purchasing decisions.

To help you understand all the factors to make a better, more informed homebuying decision, we sat down with a select group of Industry All-Stars for our 2023 Builders' Annual for their insights and advice.

I’ve always been a big believer in homeownership. Sadly, wages have not kept up with the cost of living, and living in a larger metropolis might not be realistic for some. Not only are we experiencing a credit crunch, but we’re also seeing ingenious approaches as it relates to what that homeownership dream might look like.

Convenient lifestyle

Our youth have had to change their way of thinking. Those who prefer a convenient lifestyle, so that they can afford to do the things that they want to do, are reconsidering their priorities. The size of a family is being discussed, as well as the need for a vehicle if they operate from a home-based work environment. A bequeathed, 4,000-sq.-ft. house is no longer a realistic acquisition for a high percentage of the younger generation. When looking at these large residences, a creative interpretation is being considered, along with ways to come up with an auxiliary income. Lane houses, additional dwellings or dividing a large footprint into multiple units are being measured and evaluated. Plus, alternative financing options are being considered, including lines of credit and co-purchasing a property with other investors, so that down the road each purchaser will benefit from the equity to invest in their own property.

What is desperately needed as we move into 2024, is a loosening of the strings that control the rules and regulations for both down payments and mortgages. There are too many hoops for people to jump through. We need to lower the down payment threshold and come up with longer amortizations, so that people can get approved and capitalize on the next stage of life.

Plans and policies

We’re now seeing this starting to happen, but it is my hope that the pace quickens in the new year on many of these projected plans and policies. We need to get people into a home environment that sheds light on a positive future, rather than it feeling like an impossible asset, or a burden that is at the whim of interest rate fluctuations.

By lowering deposits on new-home construction and coming up with mortgage-assisted programs, prospective homebuyers will be more willing to invest. There are lots of great deals out there, and there are areas that are more affordable. Find a good real estate agent and start looking.

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