As we navigate into what feels like the long-awaited end of the pandemic, the housing market has made a major comeback. Low interest rates, which were part of the economic strategy to persevere through COVID-19, are making many consider taking advantage of this silver lining. If you are interested in buying a home, knowing what to expect and standing out as a qualified prospective buyer will give you a leg up in the current seller’s market.
A Seller’s Market
Tight supply conditions and strong demand due to low interest rates have made the housing market highly competitive and fast-paced. When interest rates are this low, you can often afford more home for your money. This could mean lower monthly mortgage payments, the potential for a bigger home buying budget, and even could save you thousands of dollars over the life of your mortgage loan.
While a lot of buyers are actively searching for a new home, there are significantly fewer homes listed for sale today than a year ago. Supply and demand is causing homes to sell rapidly while increasing home values simultaneously. Quick sales and multiple offers are now the new normal for many properties.
How to “Win” the Deal Getting Pre-Qualified is the first step you should take before beginning your search for a new home. It allows you to focus your home search on properties you can afford and gives sellers and their real estate agents confidence that you are ready to buy the home.
After receiving your pre-qualification and you have found the home of your dreams, you will need to move quickly and make your offer stand out from the crowd. Here are a few ideas you may want to consider when drafting your offer to position yourself for success:
– Determine in advance how much over the asking price you are willing to pay (if any).
– Make a clean offer. It is best not to include contingencies if possible or have other financial constraints.
– Submit an earnest money deposit (EMD) showing you are a serious buyer.
– Cross your “t’s” and dot your “i’s”. Double-check you are not missing any disclosures or important information for the purchase agreement.
– Be flexible with your closing date.
About George Mason Mortgage and Michelle Fields-Hall
At George Mason Mortgage, we are here working for you. As a digital mortgage leader, we have the technology and security resources to make your home buying experience as smooth and as safe as possible.
Whether you’re buying, selling, refinancing, or building your dream home, I welcome the opportunity to earn your business. Market conditions and mortgage programs change frequently, so quick and accurate real estate financing advice is crucial to making the best decisions.
With over 15 years in the mortgage business, I have helped many people achieve their goal of homeownership. I take great pride in helping my clients determine the absolute best loan program to meet their individual mortgage financing needs.
Contact me with any questions you may have or to get started on your journey home:
Senior Loan Officer
Phone: (443) 798-6112