You are finally ready to find your dream home, but where do you start? Here are some tips from some of our favorite lending partners on how to purchase a home in a seller’s market.
Honesty Is the Best Policy
Jerry Beasley, Triangle Market Executive at Southern Bank, suggests being honest and open with all offers and communication. Do not play games. “It’s a seller’s market and seller’s do not have to engage in buyer gamesmanship.”
Find out What You Can Afford
Before you start your real estate search, it is important to find out what you can afford. The last thing you want to do is find your dream home only to realize you cannot afford it. This is where pre-approval comes in. Going through the pre-approval process will help determine your price range and how much money you will need for a down payment.
Getting pre-approved can help you compete with other buyers during negotiations. Providing the seller with a preapproval letter will give you a strong edge over other interested buyers.
Check out this video from Doug Anderson, Lending Manager at Towne Mortgage of the Carolinas, for more information on the preapproval process.
Do’s and Don’ts of the Loan Process
After you go through the preapproval process, it is important that you do not do anything that could change what you were approved for. Follow these guidelines to ensure the loan process flows smoothly.
- Do not quit your job.
- Do not allow anyone to make an inquiry on your credit report and don’t apply for credit or take on additional debt.
- Do not make any large purchases.
- Do not start any home improvement projects.
- Keep accounts current.
- Make payments on all accounts on or before the due date.
- Keep copies of all paycheck stubs and statements.
For more information on the do’s and don’ts to lead to a successful home purchase, watch this video from Doug Anderson.
Ready to Get Started
Talk to your Pointe Realty Group REALTOR® about the best way to make a strong offer in a seller’s market.