Many American homeowners now have enviable amounts of equity -- built up through the rapid home value appreciation that’s occurred since the pandemic began. What’s more, some own their homes free and clear, having paid off their mortgage years ago.

But as they move into their elder years, an increasing number of seniors now wish to tap that growing home equity to finance home improvements, allowing them to age in place.

“As they advance in years, most folks desperately wish to stay in their longtime residence. Yet to do that, they often need funds to modify their property -- perhaps by adding an elevator or a first-floor master bedroom,” says Merrill Ottwein, a real estate broker with Coldwell Banker.

To finance these modifications, some seniors who own their homes free and clear are seeking to apply for a new “cash-out” mortgage. But that can be a tricky path.

Take the case of a 66-year-old engineer who owns a two-story colonial with an attached garage he wishes to convert to an accessible bedroom. The problem is that because the man now has had no debt or credit cards, he must reestablish his credit before borrowing.

Eric Tyson, author of “Personal Finance for Dummies,” doesn’t know the engineer. But he says the man can likely reclaim his credit standing within a matter of months simply by taking out a new credit card, using it responsibly and making his payments on time.

“Another option is to become an authorized user on a credit card account of a spouse or other relative with a good payment history,” Tyson says.

Here are a few other pointers for those seeking to strengthen their credit:

-- Move forward promptly with your financing plans.

Mortgage rates have been ascending in recent weeks and economists forecast this trend will continue, barring another recession. That’s why home loan specialists say there’s no point in postponing refinance plans in hopes of a dip in rates.

“If you need to remodel your house, you’re better off pulling the trigger now, before rates rise even more,” says Keith Gumbinger, a vice president at HSH Associates (HSH.com), which tracks mortgage markets throughout the United States.

Many seniors assume that once they’re retired, they’ll automatically lack access to the mortgage market. But Mike Hummel, a longtime mortgage broker, says that’s a misconception.

“As lenders, we want to originate loans. If you have the retirement income or assets to pay back the new mortgage, you should be able to qualify regardless of your age or employment status,” he says.

Hummel encourages seniors who are interested in remodeling with a cash-out mortgage to contact a reputable lender in their community to discuss their current options, based on their equity picture.

-- Realize the vital importance of good credit for all borrowers.

Ever since the real estate downturn of 2008, which resulted in numerous foreclosures, lenders have maintained tight standards with little latitude to bend the rules.

“As has been the case for all these post-recession years, you still have to jump through a lot of hoops to get a mortgage of any kind, especially a cash-out one,” Gumbinger says.

Now as much as before, prospective borrowers are asked to explain blemishes on their credit reports, correcting flaws and inaccuracies when possible. Even seemingly minor dings could complicate the processing of your loan.

Prudent borrowers closely examine their credit reports before applying for a home loan. Under federal law, each year you’re entitled to one free credit report from the three largest credit bureaus: Equifax, Experian, and TransUnion. Just go to this website: annualcreditreport.com.

You will also want to access your credit scores. Such scores, which draw on data from the credit bureaus, provide lenders with a quantitative measure of a person’s credit risk. Most lenders still use FICO scores, pioneered by the Fair Isaac Corp.

Usually, you need to pay a fee to obtain your credit scores. One approach is to buy these through the Fair Isaac website: myfico.com. You can also receive credit scores through the three large credit bureaus. FICO scores range from 300 to 850.

-- Seek to lower your credit card repayment burden.

Do you already have more debt than you’d like? If so, remember that big minimum monthly payments on your plastic can limit your capacity to take out as large a mortgage as you’d like.

Along with your FICO score, another key qualifier is your debt-to-income ratio. If you face high minimum payments each month v-- whether on credit cards or car payments -- you might be unable to borrow as much as you need when you refinance.

As Gumbinger says, one way to lower your monthly debt payouts is to move balances from your highest interest-rate credit cards to your lowest-rate ones. Alternatively, consider moving high credit card debt to an installment loan made through a credit union or a community bank.

-- Choose a fixed-rate mortgage over a variable rate one.

One lesson many consumers learned the hard way through the mortgage crisis is the potential danger of adjustable-rate mortgages.

Though they often start off with a low “teaser rate,” ARMs can later adjust upward -- sometimes to a shockingly high level. That could prove especially problematic for seniors who often live on fixed incomes.

“The reality is that if you accept an adjustable-rate mortgage, you’re agreeing to bear the risk of still steeper mortgage rates going forward,” Gumbinger says.

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

After facing more than two years of ridiculously intense competition for property, homebuyers are starting to experience a more “normal” market.

“The crazy buyers -- the ones who bid way, way over asking price -- have already bought a place, closed and moved in. Who’s left to buy are real-life people with more financial constraints,” says Stacy Berman, a longtime real estate agent and blogger.

Unfortunately for buyers, the lessening of competition is not due to any moderation in home prices. In most popular neighborhoods, prices are stabilizing at very high levels. The more important factor is that rising mortgage rates have priced more buyers out of the market.

“Rates have jumped so fast, they’ve cut into affordability. That’s putting a lot of pressure on buyers,” Berman says.

If there’s any good news for buyers, it is that the inventory of available homes -- once tight as a drum -- is ever so gradually increasing.

New listings are “up 4% above one year ago. Active inventory is growing for the first time since 2019,” says Danielle Hale, chief economist for Realtor.com, the home listing company.

Buyers with solid jobs, good credit and healthy bank accounts are now in a somewhat better position to make a home purchase with less pressure and stress than they would have endured earlier in the pandemic.

Take the true tale of a landscape architect in his late 30s who has yet to buy his first home. From his father, the man received a large cash gift for use as a down payment. But he’s been waiting on the sidelines for a slowdown in the market before venturing a bid on the sort of property that could accommodate the plant nursery he’s hoping to start.

Mark Nash, a longtime real estate broker and the author of “1001 Tips For Buying and Selling a Home,” urges purchasers to take full advantage of the slight slowdown in sales to make reasoned decisions about their housing.

“In all but the most red-hot areas, there should now be more time to investigate your options, making sure you select a home you could hold for years. There’s no point in scoring the winning bid for a place that won’t meet your wants and needs going forward,” Nash says.

During the worst of the pandemic, when bidding wars were most intense, many purchasers wrote offers that dropped the home inspection contingency. But Nash says that’s less likely to be necessary going forward.

“Try your best to get that professional home inspection. It’s particularly crucial if you’re buying an older home that could have serious problems,” Nash says.

Here are a few other pointers for buyers:

-- Talk through your plans with family members who are assisting.

Many novice purchasers, especially those in their 20s and early 30s, accept parental gifts to help realize their homeownership goal.

“Often, there are a lot of strings attached when the family steps in. There are big control issues, and parental influence can lead to bad decisions,” Nash says.

He’s noticed that some parents -- eager to boast that their children live in a prestigious neighborhood -- will encourage them to buy beyond their self-imposed limits.

Before you accept family help, you need to know if your parents think this gives them veto rights over your home choice.

“A heart-to-heart talk can really help you avert this problem before it arises,” Nash says.

-- Ask plenty of questions before picking a place.

Buying a home is much different from buying a car. All new Honda Accords are basically the same, no matter the dealer or source, for example.

But each home is likely to have unique qualities. Even in brand-new subdivisions, floor plans and lot settings vary. And the disparities are still greater in older communities, where properties may have changed hands several times. Upkeep differs from owner to owner.

Of course, you’ll want to find a reputable home inspector to scrutinize any property you plan to buy. But even before you reach that stage, you should pose plenty of questions about the home and the community where it’s situated, says Merrill Ottwein, a Coldwell Banker broker and past president of the National Association of Exclusive Buyer Agents (naeba.org).

“I always tell folks to walk the community before deciding whether you’d like to live there,” Ottwein says.

Residents can forewarn you about the annoying freight trains that pass through or the jets with flight paths overhead. They can also tell you about unpleasant traffic problems and issues facing the local schools.

“Information is power, and that’s especially true when you’re selecting a home,” Ottwein says.

-- Slow down the selection process.

Some longtime renters get so keyed up at the idea of homeownership that they rush into the wrong purchase.

“With all this excitement and newness around their plans, they stop thinking straight,” Nash says.

To help guard against the tendency to plunge headlong into a purchase, Nash suggests that first-time buyers look at multiple properties during a shopping tour, even if they fall in love with the first place they see.

“And don’t work with any agent who pressures you into thinking that every house you see is a ‘home run.’ Think for yourself when choosing a place,” he says.

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

A 59-year-old lawyer owned an impressive Victorian house in a close-in suburb of Washington, D.C. Her exquisitely furnished place was widely admired by family and friends. But the woman yearned for something different.

“She dreamed of a big place where she could raise baby chicks, have an apple orchard and ride a giant tractor,” says Stacy Berman, the veteran real estate agent who helped the lawyer fulfill her dream lifestyle.

Berman found the lawyer a 10-acre place in a semi-rural area well beyond the Capital Beltway, the 64-mile roadway that encircles Washington. There, the attorney is thriving, hosting wedding receptions and apple-picking parties for family and friends.

“She’s in heaven in her renovated antique farmhouse built in the 1850s,” Berman says.

Buyers are increasingly eclectic in their preferences. The pandemic has encouraged a greater range of housing choices. One reason is that more time at home has emboldened buyers to personalize their lifestyles. Another is that telework -- a major factor for the lawyer -- is now more widely accepted.

Faced with rising mortgage rates and a limited supply of available properties, more wannabe owners are now squeezed out of the market entirely, making musings about their ideal lifestyle a strictly academic exercise.

“The Russia-Ukraine war and escalating fuel prices have contributed to further housing unaffordability for buyers,” says Lawrence Yun, chief economist for the National Association of Realtors (nar.realtor).

Still, an increasing number of dogged buyers are persevering in their quest for ownership by expanding their search criteria to encompass more distant locales -- what analysts call “cross-market home shopping.”

Joel Berner, a senior economic analyst at Realtor.com, the home listing service, has researched this growing trend through the analysis of web traffic and other statistical measures.

“As nationwide listing prices continue to rise and remote work policies are made permanent by many employers and preferred by many workers, homebuyers are seeking out listings in more affordable areas where they may not have had the flexibility to live before,” Berner says.

One minor but increasingly important factor related to the pandemic is that more would-be owners are now seeking larger out-of-town properties to accommodate their pets.

A new survey from Zillow, the national real estate marketplace, shows that pets are increasingly influencing home-buying decisions among those living in rental units.

“We saw pandemic pet ownership soar among renters, which has impacted their home preferences,” says Amanda Pendleton, Zillow’s home trends expert. She says many renters with dogs are looking for a place with sufficient space for a fenced backyard and doghouse.

Where you choose to live has countless implications, says Doro Kiley, a certified life coach who’s helped numerous clients navigate real estate transitions. She urges clients to make a community selection within the context of their overall life plans.

“Always begin by thinking about the end product -- what you’d really like as opposed to what you would settle for,” Kiley says.

Here are a few pointers for buyers:

-- Compose wording to describe your ideal lifestyle.

Kiley recommends that couples planning a home purchase first write down their respective visions of a dream house -- including both location and home features. They should then share their visions, combining the key elements of both into a single statement.

Written statements help people clarify their thinking and refine the details of their plans as they move through successive drafts. They’re also a way to help reconcile differing views, she says.

Merrill Ottwein, a Coldwell Banker broker and former president of the National Association of Exclusive Buyer Agents (naeba.org), suggests that home-buying couples try to resolve their differences by distinguishing between “wants” and “needs.”

-- Factor in the implications of a lengthy commute.

One of the most wrenching trade-offs many families face is between a larger, newer house with a longer commute and a smaller, older place that’s closer to a city center.

Buyers who consider an outer-tier suburb are often driven by the desire for a larger property or what they perceive to be better schools.

“Unfortunately, good schools often correlate with newer suburbs rather than older areas that are close in,” Ottwein says.

But before you opt for a distant suburb, he strongly recommends you do morning and afternoon rush hour test drives. This way, you’ll know more precisely what sort of traffic to expect if you buy there, he says.

-- Take into account the demands of a large yard.

Many people with young children hang on tightly to the hope that their kids will have a large backyard where they can frolic. This aspiration can influence them to pick an outlying suburb at the expense of their convenience and commuting time.

But are the trade-offs necessary to acquire a large piece of land always worth it? Not necessarily, says Ottwein, noting that today’s children often spend much more time in organized athletic and recreational activities than did their parents.

-- Avoid rushing into the selection of a property.

Nowadays, those seeking a home in many a popular neighborhood still face fierce competition from other bidders. They feel pressured to act quickly, lest they lose out to a rival. In the process, Ottwein says, some buyers are now taking regrettable shortcuts -- rushing into a purchase without analyzing whether the property they buy truly matches both their primary wants and needs.

“Don’t let your competitive instincts trick you into the wrong choice,” he says.

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