Today's housing market can be tense and at it's worst, frustrating for the person looking for their next home! With few houses on the market and buyers waiting in line, it's important to know what will help you jump start the process and find the place you will build a life in. Here's a few tips from your CFSB Residential Lending team to consider when dreaming about the place you'll call home.
1. Relationships are critical
To jump start your process of finding the perfect place, you need to make these critical relationships first! Find a realtor that will understand your needs and represent you when the right home opens up. Also, find a community banker who will know the ins and outs of the financing process and walk with you step by step. These two relationships can make or break your home journey!
2. Get Pre- Approval
Once you've found the right people to be on your home buying team, start that pre-approval process. With houses flying on and off the market, sometimes within 24 hours, you'll want to be ready to hit go when the time is right. With this market, sellers don't want to or have to take a risk on the financing falling through so they may ask up front for only buyers who are already pre-approved. While starting pre-approval, remember that many houses are going for over asking price, meaning you will need to prepare for that in your approval. This approval will last 60 days while you search.
3. Don't add more credit while you wait
You've got your pre-approval and you are waiting for that dream home to come along. Stay away from other credit opportunities like cars, boats, campers, etc. You were approved on your current debt to income ratio and more debt could affect your pre-approval.
4. Be patient!
The market has shifted and supply is small while demand remains large. It may take a while to find your new home. Once you do hit go on a home, it could take around 45 days to go from receiving the sales contract to closing the loan. Processing can take time but your lender will walk you through the process!
If you are ready to look for the next step in your home owner journey, give us a call!