As they approach their 40s, a Los Angeles couple -- a musician partnered with the manager of a farmer’s market --have become focused on escaping their one-bedroom rental to buy a modest detached home in an L.A. suburb.

“The simple truth is that we’re tired of being pushed around by our landlord. Every year the rent rises, and we have zero to show for it. We gain neither tax relief nor equity from all those rent receipts,” the musician says.

The couple’s housing requirements are few. They’d settle for a small house with no garage so long as the place is a detached single-family property with at least two bedrooms and a tiny yard where their goldendoodle could play.

The musician’s parents are happy to help offset the high cost of the couple’s down payment. But even so, volatile mortgage rates and high housing costs are huge barriers facing the pair. Also problematic is the shortage of available properties in the couple’s price range in the Los Angeles area, where they work.

“We’ve been struggling so long and hard to make our housing plan happen. It’s very discouraging, but no way will we give up,” the musician says.

Lawrence Yun, the chief economist for the National Association of Realtors, doesn’t know the wannabe homeowners in this true story. But he’s optimistic about their odds of scoring their housing goal.

Yun insists that the worst of the nation’s housing inventory shortage is coming to an end, including in California, and that mortgage rates are stabilizing.

“Directionally, I think there’s going to be roughly a 10% boost of existing home sales in 2025 and 2026,” Yun says.

Here are a few pointers for first-time buyers with affordability issues:

-- Look to young friends and family members who’ve achieved homeownership.

Tom Early, a past president of the National Association of Exclusive Buyer Agents (naeba.org), says that when it comes to financial decisions, people in their 20s and 30s are heavily influenced by their social circles. So once one friend buys a house, others in the same group are often motivated to do the same.

When it comes to home-buying, Early doesn’t agree with Shakespeare that jealousy is “a green-eyed monster that doth mock the meat it feeds on.” In fact, he says jealousy can be a positive force that spurs some to action.

“Some discouraged buyers gain new energy for a home purchase once their friends reach that goal,” Early says.

Besides the problem of affordability, many would-be buyers in their 20s and 30s are held back by a fear of commitment signified by the traditional 30-year mortgage.

“It’s important to realize that your first home doesn’t need to be your forever home. It can be a steppingstone to a larger property in the years ahead,” says Tisha Janigian, an L.A. real estate broker who heads a firm with 10 agents.

As Janigian tells her young clients, the beauty of a fixed-rate mortgage is that their mortgage payments will stay constant, even as their incomes likely rise.

“Eventually as the years go on, your house payments will seem to shrink as your home’s value increases,” Janigian says.

-- Begin your home-buying campaign by visiting a mortgage lender.

Are you a potential homebuyer whose credit reports were tarnished by a poor history of paying credit card bills while still in college? At the time, your grades and social life may have seemed more important than your credit standing.

Regrettably, youthful financial indiscretions have a way of lingering on your record long after people stop asking about your GPA.

While there’s no quick fix for a poor credit score, Janigian says your standing can be restored over a period of weeks or months through methodical effort.

“Find a mortgage broker or lender who really listens to you and helps you get on track with your home finance. Ask your real estate agent for the names of several lenders in your area with whom your agent has worked. Agents know who provides excellent service to their clients,” Janigian says.

She says there’s no point to touring potential properties until you’ve set your price ceiling and have ironed out any credit wrinkles.

-- Contain your spending habits until you buy a home.

Suppose that while you’re still a renter, you’re invited to a housewarming party at the home of friends who’ve obtained the status that comes with homeownership. Part of you likes seeing your friends successful, but another part feels diminished by comparison.

In this situation, Early says some renters resort to the short-term gratification of making other prestige purchases that are easier to obtain than a home. They may buy a luxury car or an apartment full of new furniture, financing their purchases with credit.

Such purchases weaken your chances of achieving your ultimate dream, Early cautions, because you may not be able to obtain as large a mortgage as you’ll want or need.

“In rare instances, some discouraged homebuyers in high-cost areas seek to lift their mood with an extravagant vacation. But in the end, this is self-sabotaging behavior if your actual dream is for homeownership,” he says.

When it comes to your finances, your best bet is to think long-term.

“Running up your credit card balances in advance of a mortgage application is truly a misguided approach. It might make you feel good in the short term, but it can bring on misery if your home-buying goal keeps getting delayed year after year,” Early says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)

This fall, housing sales were expected to increase strongly. But after a September bounce, the market has turned listless. That’s because mortgage rates have once again started rising.

“The decline in prices, fewer new listings and longer days on the market indicate a sluggish housing market,” says Jiayi Xu, an economist for Realtor.com, the home listing company.

Not surprisingly, affordability issues and major political change are at the heart of the current slowdown in real estate sales.

“The U.S. housing market is split into two groups: first-time buyers struggling to enter the market and current homeowners buying with cash,” says Jessica Lautz, an economist with the National Association of Realtors (nar.realtor).

All told, homeowners are sitting on $17 trillion in total equity, with few feeling any urgency to sell. But those who do have urgent reasons to sell should adapt their planning to reflect current market realities.

“My suggestion for sellers is to make their property move-in ready. Remember that the cash flow of buyers is not unlimited. Especially after saving, saving, saving for a down payment and closing costs, most buyers are in no position to take on big remodeling projects,” says Rich Rosa, a Chicago-area real estate broker who works exclusively with purchasers.

What does move-in ready mean? For buyers it translates to an immaculately clean house that’s freshly painted and nearly 100% free of clutter.

“For instance, in the kitchen, your counters should be totally clear. ... You want buyers to know there’s ample workspace in your kitchen without renovation work,” says Rosa, who’s represented buyers since 2005.

Here are a few pointers for sellers under pressure to move soon:

-- Find an assertive listing agent to advocate for you.

“In all markets, selling a home to make an immediate move is an anxiety-producing situation, and all the more so at a time of economic uncertainty,” says Stacy Berman, a longtime real estate agent in suburban Maryland.

She recommends you search for an agent with extensive experience selling properties in your particular community. Another key is to rely heavily on referrals from neighbors and friends who’ve sold in the same area.

Don’t know anyone from whom to seek referrals? Another approach is to call the managing broker of a major realty office in your area. Ask the broker to refer you to a veteran agent with a substantial track record selling homes similar to yours in your price bracket.

-- Consider the competition before pricing your property.

Before your home is listed and available for public showings, your agent will undoubtedly suggest an asking price. But Eric Tyson, a personal finance specialist and co-author of “House Selling for Dummies,” says that prior to accepting any pricing recommendation, all sellers should do at least a nominal amount of research.

“Ask your agent for a list of properties near your home that have sold recently. Then get in your car and drive by these homes, noticing how they compare with your own,” Tyson says.

If your drive-by tour raises questions in your mind about whether your listing agent is suggesting too high or too low an asking price, request a justification for the recommended price. Then reach your own conclusion.

-- Consider pricing slightly below rival properties.

Remarkably, sellers in a desirable area can often receive more for their property if they price it just slightly below its apparent market value.

“Pricing a little lower than the competition can generate excitement. More people are likely to bid if they perceive the property to be a good value. And this can create an auction effect that could help you at the bottom line,” Tyson says.

-- Seek to delegate much of the work of preparing your home for sale.

Typical sellers, especially those who have the luxury of time, spend several months or more preparing their property for market. They cull through belongings, prune shrubs, paint wherever needed and clean exhaustively.

But if you’re selling under pressure, chances are you’ll have no more than a few weeks to get your home in showing condition.

One obvious way to cut back on your home preparation time is to hire contractors for work you might normally do yourself, even for smaller jobs such as cleaning.

-- Develop a contingency plan for your property’s sale.

Sometimes even a home that’s in good condition and correctly priced will fail to sell quickly for reasons hard to determine.

To avoid panic in this situation, Tyson recommends that people who must sell in a hurry develop a Plan B for coping if the process takes longer than expected.

Perhaps you’ll arrange for a trusted family member to take responsibility for your home sale. Or maybe you’ll want to buy time by renting out the house for six months or so.

“You’ve got to look at the big picture. What matters is not only your financial well-being but also your emotional health,” he says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)

The pandemic drastically altered Americans’ housing preferences. Since Covid-19, many more first-time buyers aspire for ownership of a detached, single-family house, ideally with a fenced yard big enough for a game of badminton or croquet.

But countless financially-constrainedfinancially constrained renters are simply unable to afford this idealized ownership vision due to their overall high cost of living, including their student loan payments and child care expenses. That’s why more young buyers are settling for a more moderately priced condo, says Maya Hyman, who sells homes through the Compass Realty firm.

“It’s a fabulous time to buy a condo, because there’s downward pressure on prices,” says Hyman, noting that the supply of unsold units has increased recently, putting more condos within reach of renters.

Fred Meyer, a long-time real estate broker in Massachusetts, says the monthly payments for a condo can be as low or lower than rental charges for comparable units in the same region.

He says many young apartment renters are especially highly motivated to escape their rent burdens in favor of ownership over what he calls “the pointless treadmill of renting, which buys them nothing -- —not even equity.”

But he cautions that condo buyers should be exceptionally choosy in their selection of a condo, —making sure the building they pick is well located and financially strong.

Here are a few pointers for condo buyers:

-- Look for a building in an area with a resilient job base.

The vitality of any local real estate market is tied closely to the employment strength of the area. But homebuyers shouldn’t count on a single employer to keep the local economy robust.

“To guard against the impact that layoffs can have on property values, buy in an area with multiple major employers. For example, in the Seattle area, it’s unlikely that both Microsoft and Starbucks would close their headquarters there simultaneously,” Meyer says.

How can you investigate the strength of a local economy?

“Beyond internet sleuthing, one way to research an area is to visit offices of the local Chamber chamber of Commerce commerce and ask what’s happening to jobs in the area. Also ask your agent for employment metrics,” Meyer says.

By avoiding an economically depressed region, you not only increase your chances of owning a salable condo. You also increase the likelihood of living there happily.

“It can be unpleasant living around a lot of people who’ve lost their jobs,” Meyer says.�

-- Examine statistics to validate your hunches about the right condo building.

Your subjective reaction to a condo building can help with the selection process. But you -- along with your real estate agent -- will also want to seek out objective information to better analyze the strengths and weaknesses of a particular building.

“Ask your agent to look at the resale history for the building going back as far as four years. Take note of the median number of days it has taken to sell a unit there. The more days it takes to go from list to sell, the less liquid the building has,” Meyer says.

-- Show skepticism about a building with unusually low condo fees.

Nearly all condo buildings impose “condo fees” on their owners. Among other expenses, these monthly charges cover the cost of routine upkeep on a building and its grounds, along with support services, -- like the concierge at the front desk.

Michael Crowley, a real estate broker in Spokane, who works exclusively with buyers, says some purchasers mistakenly shop for a building with the lowest possible monthly fees. But he warns against that approach.

“In truth, you typically get what you pay for in condo fees. You certainly don’t want to live in a place that’s neglected upkeep to keep fees low. That could prove a very poor investment in the long run,” he says.

In addition, check the “reserves” of the building -- —meaning the amount of money set aside for major renovations.

“Deferred maintenance could well mean that owners will one day be hit with a huge bill for their share of the cost of a new roof or new elevators. Such a big expense could smack you with little warning,” Crowley says,

-- Don’t buy in a building with an excessive number of renters.

Meyer is wary of condo buildings where a large number of units are not owner occupied. That’s because renters have a lesser stake in the maintenance of a property.

“Owners who live in their units feel a natural pressure to ensure there’s sufficient money available for upkeep. Renters feel no such natural pressure,” he says.

What percentage of owner-occupants is enough? That depends on the location of the building. In most cases, Meyer says you’ll want to see more than half (of?) the units occupied by owners. However, this rule may not hold in a resort community where seasonal rentals are the norm.

Even though it’s not wise to choose a building with a large number of renters, it’s also important to avoid a building that prohibits owners from renting out their units should they wish to do so.

“Imagine you had to move suddenly for a job transfer and you couldn’t rent your unit. You shouldn’t give up that prerogative,” Meyer says.

-- Seek out the best available unit in the building of your choice.

Even in the ideal condo building, not all units are created equal. Some are much more salable.

“Two units could have the same exact floor plan. But one that overlooks a beautiful park will be worth a lot more than one which overlooks a parking lot,” Meyer says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)