Cynthia Lanciloti's Blog
Want to make your homeownership dream a reality? Get pre-approved for a mortgage, and a first-time homebuyer can move closer than ever before to acquiring his or her ideal residence.
Ultimately, there are many reasons to receive pre-approval for a mortgage, including:
1. You can establish a realistic homebuying budget.
Entering the housing market for the first time can be challenging. In fact, many first-time homebuyers struggle to establish realistic expectations before they begin their home search. And as a result, these homebuyers may end up spending too much for a house.
Fortunately, getting pre-approved for a mortgage enables a homebuyer to enter the real estate market with a budget in hand. This ensures a homebuyer can avoid the temptation to overspend on a residence.
Pre-approval for a mortgage also allows a homebuyer to map out his or her homebuying journey. With a plan in place, this homebuyer may be better equipped than others to acquire a top-notch residence that matches or exceeds his or her expectations.
2. You can speed up the homebuying journey.
Although a first-time homebuyer can always submit an offer on a home without a mortgage in hand, doing so may be tricky. In some cases, it may even slow down the homebuying process, especially if a homebuyer has to allocate significant time and resources to find a mortgage lender.
On the other hand, a homebuyer who gets pre-approved for a mortgage should have no trouble accelerating the property buying cycle. This homebuyer will know exactly how much money is at his or her disposal, and as a result, can speed up the homebuying journey.
3. You can gain a competitive advantage over rival homebuyers.
In many instances, a home seller may be more likely to accept a proposal from a first-time homebuyer who has been pre-approved for a mortgage versus an offer from a buyer who still needs to obtain a mortgage.
A homebuyer who has a mortgage likely won't have to wait too long to acquire a house. Conversely, a homebuyer who needs to apply for a mortgage after an offer has been submitted may need to wait many weeks or months to complete a home sale.
Clearly, there are many great reasons for a first-time homebuyer to receive pre-approval for a mortgage. For homebuyers who want to ensure the best results possible, it certainly helps to collaborate with an experienced real estate agent too.
An experienced real estate agent understands the ins and outs of the housing market and will do whatever it takes to help a homebuyer streamline the property buying journey. This housing market professional will set up home showings and negotiate with a home seller on a property buyer's behalf. Plus, he or she is happy to provide honest, unbiased recommendations to help a homebuyer make his or her homeownership dream come true.
Take the next step to acquire your dream residence – get pre-approved for a mortgage today, and a first-time homebuyer can get the necessary financing to purchase his or her ideal house.
Unless you're a first-time home shopper, you'll need to acquire your next home while selling your current home. How do buyers finesse this?
When buyers are competing with each other for a tight inventory of available homes, the ones who are ready to come to the table fastest, not the ones with contingencies, are most likely to succeed.
So, what's an ordinary buyer to do? Here are the top solutions—not all for the faint of heart!
- The collaboration: Ask the buyer of your current home to go ahead to closing, but let you rent it for a month or two past then. If the buyer really wants your place and is in the position to do it, your problem is solved. Obviously, this arrangement isn't for all buyers. But every situation is unique, and this might work for yours.
- The photo finish: Plan to schedule simultaneous closings on both homes, if a motivated, approved buyer can agree to wait for you to complete your purchase. It's been done. There is some risk here, not to mention moving van challenges! If your buyer has to pull out for any reason, you may still have to close on your new home.
- The bridge loan solution: With a bridge loan, you can purchase a home before selling, borrowing against your current home equity until you have the sale proceeds in hand. These are meant to be short loans. A bridge loan will get pricey if your home takes longer than expected to close. Steer clear of depending on this kind of loan for more that the span of a few weeks.
- The contingent offer: You can line up a new home without having to take on the new mortgage until you're done with your sale. Yet few sellers are happy to accept contingent offers and hold on until a buyer's home sells. Contingent offer agreements usually only stay open for about 60 days and often have clauses that can accelerate the buyer's need to commit, allowing the seller to accept another offer.
- The sell-and-hotel method: This is a good way to reduce risks. Sell your home, take stock of your bank account, and know exactly what you can comfortably purchase. Store any furnishings you plan to take with you, and get a short-term rental for yourself. This means moving twice, but it also means you have money from the sale, and you're not buried under two mortgages.
Selling one home to buy the next makes the already complex matter of home buying...more so. But an experienced real estate agent can lead along the best path for your circumstances and put you in touch with financial professionals where needed.
Buying a home should be a fun, exciting experience, one that ends with you moving into your dream residence. However, problems sometimes can arise that prevent you from accomplishing your ultimate goal.
No homebuyer should be left in the dark, especially when it comes to navigating a competitive real estate market. Lucky for you, we're here to help you kick off your homebuying journey on the right foot.
Now, let's take a look at three tips to help you launch a successful homebuying journey.
1. Know Your Homebuying Budget
You know that you'd like to buy a house, but how much can you afford to pay for a residence? With a homebuying budget in place, you can determine exactly what you can afford.
Getting pre-approved for a mortgage enables you to enter the real estate market with a budget in hand. Many credit unions and banks are available nationwide, and each lender is happy to provide details about a wide range of mortgage options. That way, you can select a mortgage that matches your finances perfectly.
Also, don't forget to consider the costs of utilities when you budget for a home. And if you need to commute to work or school, you may want to consider your transportation expenses as well.
2. Examine the Housing Market
The housing market usually features a large collection of high-quality houses. Take a look at some of the houses that are currently available, and you can better plan for your homebuying journey.
For example, if there is an abundance of homes available in a city or town where you'd like to live, now may prove to be the ideal time to enter the real estate market. The sheer volume of residences indicates a buyer's market may be in place, so you might be able to boost your chances of acquiring an exceptional house at a budget-friendly price.
On the other hand, if homes are selling quickly in a particular area, it likely means a seller's market is in place. As such, you will need to be aggressive if you want to secure your dream residence at an affordable price.
3. Consult with a Real Estate Agent
The homebuying journey can be daunting, particularly for those who are interested in purchasing a house for the first time. Fortunately, a real estate agent can help you seamlessly navigate the homebuying journey.
A real estate agent possesses comprehensive housing market experience. He or she can share real estate insights with you to ensure you can purchase a great house that meets or exceeds your expectations.
Furthermore, a real estate agent will keep you up to date about new properties, set up home showings and negotiate with home sellers on your behalf. And if you ever have concerns or questions, a real estate agent can respond to them immediately.
Ready to make your homeownership dreams come true? Use the aforementioned tips, and you can enter the real estate market as an informed homebuyer.
Buying a home may prove to be challenging, regardless of where you decide to search for a house. However, if you are aggressive in your pursuit of your dream residence, you could speed up your home search.
Now, let's take a look at three tips to help you stay aggressive during your quest to find your dream house.
1. Keep Track of the Local Housing Market
You know you want to purchase a house in a particular city or town, but residences are selling quickly. Fortunately, if you monitor the local housing sector, you may be better equipped than other buyers to pounce at an opportunity to acquire a terrific residence at a budget-friendly price.
Be persistent in your home search. Review the local housing market daily, and if a home becomes available that you want to check out, schedule a showing right away.
Of course, once you find your dream house, don't hesitate to submit an offer to purchase it. Because the longer you wait to submit a homebuying proposal, the more likely it becomes that a rival homebuyer could acquire this residence.
2. Attend Open Houses
An open house provides an excellent opportunity to walk through a residence at your convenience. Then, if you believe a home is right for you following an open house, you can schedule a showing or submit an offer to purchase.
If you attend an open house, take notes when you identify things you like or dislike about a residence. These notes may help you make an informed decision about how to proceed with a home after an open house.
Ask questions during an open house, too. Remember, a seller's agent is on hand during this event, and he or she can provide you with home insights that you may struggle to obtain elsewhere.
3. Work with a Real Estate Agent
Although you may believe you possess the skills and expertise to quickly discover your dream residence, it never hurts to get extra help. And if you hire a real estate agent, you can receive comprehensive assistance as you work diligently to acquire a house that suits you perfectly.
A real estate agent is committed to a buyer's success, and as such, will do whatever it takes to help a buyer accomplish the best-possible results. Therefore, if a buyer wants to purchase a house near a beach, a real estate agent can keep this individual up to date as new beachfront residences become available. On the other hand, if a buyer is operating on a tight budget, a real estate agent will help this individual find a wonderful house that falls within his or her price range.
As you get set to conduct an in-depth home search, it generally helps to prepare for the homebuying journey. Thanks to the aforementioned tips, you can take an aggressive approach to accelerate your home search and boost the likelihood of acquiring a house that you can enjoy for years to come.
As a homebuyer, you likely will want to do everything possible to secure your dream house at a budget-friendly price. Yet for those who are dealing with an aggressive property seller, achieving the optimal results may prove to be challenging.
Lucky for you, we're here to help you simplify the homebuying process so you can acquire your ideal residence at an affordable price – even if you're forced to deal with an aggressive home seller.
Now, let's take a look at three tips to help you deal with an aggressive property seller and accomplish your desired homebuying results.
1. Remain Patient
It may be tough to deal with an aggressive home seller at times, but those who stay the course can buy a house that matches or exceeds their expectations.
Remember, a patient homebuyer generally is a happy homebuyer. If a buyer avoids rash decisions and remains calm, cool and collected when dealing with an aggressive seller, he or she can boost the likelihood of making the best-possible choices throughout the property buying journey.
2. Focused on Your Desired Results
The ultimate goal of the homebuying journey is to find and buy a house that you can enjoy for years to come. In some instances, an aggressive seller may make it difficult for you to accomplish your goal. But if you prioritize the end results of the homebuying journey, you may be better equipped than others to secure a terrific residence.
If you focus on the big picture, you may be able to reduce the risk that minor issues with an aggressive home seller could slow down the property buying journey. And if you do whatever it takes to achieve your desired homebuying results, you may be able to find unique solutions to various problems.
Don't forget to maintain open communication with a seller. If you open the lines of communication with a seller, both you and a seller can work together to ensure all parties are satisfied with the results of a home sale.
3. Hire a Real Estate Agent
If you're uncertain about how to deal with an aggressive seller, you may want to hire a real estate agent. That way, you'll have an expert negotiator at your disposal.
A real estate agent is happy to negotiate with a home seller and his or her agent on your behalf. By doing so, a real estate agent will minimize the risk of potential property buying delays.
Let's not forget about the frequent updates that a real estate agent provides during a negotiation with a property seller, either. A real estate agent will keep you informed about seller negotiations and ensure you can move along the homebuying cycle. And if you ever have concerns or questions during the homebuying journey, a real estate agent is ready to respond to them at your convenience.
Manage the homebuying journey like never before – use the aforementioned tips, and you can avoid the headaches commonly associated with dealing with an aggressive property seller.