Summer is traditionally the best season to sell a house. It is also the time when houses are most expensive. Summer is a great time to buy a home. However, they will likely be more expensive than other times of the year.
This is why we have included tips for homebuyers. Knowing what to expect and how to approach it is important to ensure you get the home you desire at the best possible price. Continue reading to learn our top 5 tips for homebuyers this summer.
1. Understand the Challenges
Our first tip for homebuyers looking to buy a home in a new market_city this summer is to have an understanding of the potential challenges.
First, home prices continue to rise. While the pace of price rises has slowed down, they are still rising.
According to the National Association of Realtors, the national median price for an existing home rose to $350,000.00 in May 2021. This is 23.6% more than a year ago.
Inventory is also still way behind demand. This means that there is a “glitch of buyers competing for a small number of expensive homes.”
Although mortgage rates have fallen to historic lows, interest rates are rising. Industry watchers predict that this trend will continue.
These challenges are a reminder to you, the Fort Lauderdale Florida homeowner, that it is more important than ever to have the assistance of an expert Fort Lauderdale Florida. Call Sellers: 954-281-7487
Buyers: 954-247-4285 to learn more about the services of an agent.
2. Get Pre-Approved Early
Our number one recommendation is to get pre-approved for mortgage financing before you begin your house-hunting.
Industry pros say that you need to get pre-approved for a mortgage to be able to offer on a property in today’s market.
A mortgage pre-approval letter is a written confirmation from a lender that you have been approved for a loan.
It includes a review of your financial statements, income, credit reports, and debts. A pre-approval letter signifies that you are serious about buying a house.
You’ll come off as a more serious buyer with a pre-approval letter. This will give you far greater negotiation leverage.
Compare shop lenders to get the best deal. Apply for pre-approval with at minimum three lenders.
3. Make a “Clean” Offer
Before current market conditions, sales contracts were often made with contingencies. Considering the current market conditions, low inventory, and high demand, contingencies have become less acceptable and less common.
This is why we recommend that homebuyers looking to buy a home in a new market_city this summer make an offer that is as clean as possible.
Contingencies are clauses in a contract that requires certain conditions to be met before a sale can proceed. A financing condition requires the buyer’s mortgage approval before they are obligated to close the property.
A home inspection contingency permits buyers to request sellers to make repairs in the event of any problems discovered during a property inspection.
Sellers are receiving so many offers that buyers have less space to ask for contingencies. Sellers prefer to receive a “clean” offer that does not require contingencies.
However, contingencies may still protect you as a buyer. Before you waive any contingencies in your summer offer, make sure to contact an agent at Sellers: 954-281-7487
4. Get to Know the Local Market
It would be remiss of us not to include in our tips for homebuyers the advice to get to know your local market. You need to be aware of what is happening in your local market. Here are the recommendations of experts. .
“Home prices rise 9% on average from January to June and even higher in certain areas of the country. Although June and July are the most expensive months to buy, inventory is usually higher. However, some areas see prices rise as late as December.
The housing market is highly localized. Get to know the area where you are hoping to purchase.
This again highlights the importance of working with an experienced Fort Lauderdale Florida agent.
5. Find the Right Lender and Agent
Our last tip for home buyers is to work with the right agent and lender.
“Houses are flying off the shelves. . . . You will likely need a pre-approval letter in a flash”.
Working with a loan officer available on weekends and nights is important.
It is also important to find a real estate agent with good relationships with other agents in the market. Agents should be able to hear about listings before they go live.
Even before homes go on the marketplace, they are under contract. Ask prospective agents what they do to find listings before they are put on the market.
Would you like to start living in your dream home but haven’t met the requirement for a mortgage?
We have the solution. Start living in your dream home this summer. Rent to own your dream home and take 3-5 years to meet the mortgage requirements and buy the home you chose.