If you’re in the market for a home, it’s important to note that in a seller’s market like the one we are now experiencing, homebuyers must be prepared to make an offer quickly to increase your odds of getting the home you want.
One important move will prepare you to make a solid offer: Be fully approved for your loan so you can compete with other qualified buyers, even those who are offering cash for the home.
“Pre-approval is important to the seller because it gives the buyer a commitment for a specific loan amount. It also helps homebuyers negotiate on price and can be a deciding factor for sellers who receive multiple bids,” said A. Wade Douroux, President and CEO of Resource Financial Services.
As a homebuyer, getting pre-approved for your loan lets you know how much money you can borrow and how that affects the price range of the homes you can consider buying. Second, as mortgage rates fluctuate, you can be ready to lock in a loan before interest rates rise.
Follow these tips to prepare financially for the fall buying season:
- Check your credit. Go online to annualcreditreport.com to request your credit reports from all three reporting bureaus.
- Evaluate your budget. Estimate your available funds for a deposit, down payment and closing costs.
- Choose a lender. Find someone you feel comfortable with and can trust; a good lender knows the local market and can walk you through the process as well as advise you on your home purchase.
- Get your documents in order. Consult with your lender on the required paperwork and continue to update this as you go – you will need the most recent pay stubs and bank statements for final loan approval.
- Get pre-approved for a loan. Your lender will go over various financing options to meet your short and long-term goals. Your pre-approval will help you act quickly when you find the perfect home.
Resource Financial Services is here to help you on the road to home ownership. Working closely with one of our reputable lenders, you will find competitive rates, a variety of products, and the education that eliminates surprises and helps you create a clear path to homeownership.
That’s why we believe meeting with one of our reputable and experienced mortgage bankers should be your first step. With our guidance and knowledge, you can find a home you can truly afford with a mortgage that works for your budget.
Call us today toll-free at 888.500.6050 to speak with one of our mortgage bankers or visit us online at rfsmortgage.com to learn more.