Posted on Monday, September 11, 2017
Buying a house is a huge financial undertaking. It is the largest investment most of us will ever make, which means small differences in how your buyers deal with it can really add up over time. Share these five “rules” with your prospective homebuyers – they’ll thank you for it.
In today’s market, it may take three to six months to buy a home. Low inventory and strong buyer demand complicate the process, and increase the chances of encountering a multiple-offer situation. The sooner buyers start their search, the better.
If your client needs a mortgage to buy a home and wants to be taken seriously by any seller, get pre-approved for a home loan before beginning the search. With such a competitive market, they need to be fully prepared to move on their offer.
Advise them to meet with at least three lenders when shopping around for a mortgage. Banks, credit unions and mortgage brokers all offer different interest rates and fees. They’ll want to compare all of their options in order to make an informed decision.
Real estate experts advise against lowballing an offer. Defer to local agents for advice, as real estate markets vary by neighborhood. How long a house has been on the market should also be taken into consideration, as houses that have been on the market longer may be overpriced. These considerations may open/leave room for negotiations .
Because it is a seller’s market, attaching too many contingencies may negatively draw attention to your clients offer. Some contingencies shouldn’t be withdrawn, such as an appraisal contingency required by the lender if a mortgage is part of the financing.
Because the market is so competitive, you may only have a few days to view the property, speak with your agent, and submit an offer. Many sellers will list their house, have an open house, and choose a buyer within a short timeframe. Be prepared to act fast.
South Oak Title is here to help ensure everything goes according to plan when your client are ready to purchase a home. We are real estate transaction experts with years of experience streamlining transactions for lenders, realtors, buyers, and sellers. We look forward to the chance to serve you!