Spring Home-Buying Season Preparation
With housing inventory being far lower than the demand and mortgage rates expecting to rise, this spring aims to be a particularly competitive market for homebuyers. If you’re in the market for a new home, you may find the process rather difficult. But don’t worry yet. Here are some ways you can prepare for this competitive spring home-buying season:
Get Finances In Order: Unless you have enough cash to purchase the house upfront, you’ll likely need to apply for a mortgage. This requires a significant amount of documentation that you’ll need to collect to present the lender with an accurate financial summary. Be sure to look at your credit report and pay off any debts you may have, as this could affect your chances.
Qualification: Use a prequalifying mortgage calculator to get a general idea on what kind of loan works best for you. Even if you think you’re a pretty strong candidate overall, never assume anything. Lender’s guidelines have become a lot more strict since 2008.
Choosing The Right Realtor: This can be a huge difference maker in the long run. Make sure you hire an experienced real estate agent who knows your area well. They’ll also help you get documents in order and help you with any outstanding questions you may have. Do a lot of research beforehand to determine who’s the best realtor for you.
Prepare To Pay Asking Price: In this current market, sellers are getting at least 95% of their asking price. So don’t walk in expecting sellers to meet you at a lower price point. If you find a house that’s within your budget, it’s best to not wait around until the price drops since someone else can come by and buy it at anytime. Act smart, but also act fast.