You don’t need a perfect credit score to qualify for a mortgage.
If you’ve been seeing articles (and my posts) about low interest rates and wish you could take advantage, you might be more qualified than you think.
For starters, there are several different loan programs which all have different minimum requirements. For example, the credit score required for a conventional loan is higher than an FHA loan.
According to Experian, “It’s possible to get approved for a conforming conventional loan with a credit score as low as 620, although some lenders may look for a score of 660 or better.”
The best way to figure out if you can qualify for a mortgage right now is to meet with a local lender and talk about your options! If you need a referral, send me a message and I’ll point you in the right direction!
Agents are often treated like a fluffy extra when selling your home rather than an asset who can help you make the most money possible from your home sale.
We tend to be the first to go when you think about cutting expenses or netting more money.
I’ve always felt frustrated (and saddened on those seller’s behalf) by the lack of knowledge about what it is a GOOD agent actually does for you.
I see the comments floating around in Facebook group threads and on Instagram – “I knew you could get the price you wanted! We are going to try selling on our own this Summer too. Why not when there is so much demand?”
Here’s the truth: The demand for houses right now, would not exist without real estate agents. We are the ones driving up that demand, getting you 37 showings you wouldn’t have without us, analyzing the offers (that are truly a foreign language to read through if you’re not a professional).
You wouldn’t have someone taking that accepted offer and making sure you’re not leaving any money on the table from that point until closing.
We are not just here to give you some advice and see what happens.. Do you think our only job as an expert is to tell you to paint your walls white, take down the ugly drapes and rearrange your furniture – not even close. We didn’t flip or decorate one house and decide we were qualified to help you buy or sell your home. We dedicate our lives to this.
If you decide to forgo hiring a professional to help you sell your largest asset and you come out on the other side feeling successful – even that is subjective because you have no idea how much money you could be leaving on the table from your lack of expertise.
Moral of the story – before you write off a real estate agent as a shiny extra, find a damn good one and see how they can help you. Smart people hire experts to handle their largest assets, not themselves.
If you are trying to buy a home right now you KNOW how competitive the market is. It’s not fun losing out on every home you want to purchase. So how do you get your offer aceepted?
STEP 1
You’ll want to start the process earlier than you think. It’s so important to make sure you have in depth knowledge of the current market and a good grasp on what you can realistically afford (monthly) so you can start the process confidently and on the right foot.
STEP 2
Schedule a buyer consultation before you think you’re ready. There’s a lot to learn and you’ll want to be prepared so you’re ready to go instead of being overwhelmed once you begin the process.
STEP 3
Be patient! I know this is a hard one, it sure is for me. But you have to have patience. Expecting an agent to find you a house and get you under contract quickly might not be possible or realistic in this market although I will do everything in my abilities to get you there. Set your expectations accordingly and talk to your agent about what is realistic.
STEP 4
Be strategic when writing your offer. The highest price doesn’t necessarily equate to the winning offer. Position yourself in the best place possible to have that competitive edge (i.e. work with a reputable local lender and an agent who is easy to work with. Follow their advice!)
STEP 5
Have all your ducks in a row and be ready to write a competitive offer. This isn’t a market where you can low ball an offer, see what the seller will do, take your time, and have multiple showings. You need to move quickly and be confident in your decisions!
If you’re ready to get the ball rolling, don’t hesitate to reach out to you. I’d love to help you find your dream property!
While I can’t predict the future, I do spend a lot of time researching the market and seeing what economists are predicting.
One thing to keep in mind is that our current market is drastically different from our market in 2006-2008. We have an extremely low supply of inventory in the majority of the country (meaning there are more buyers looking for homes than there are homes for sale) which has driven up home prices.
Secondly, homeowners have a substantial amount of equity.
I pulled this from the Homeowner Equity Report on CoreLogic’s website: “In the third quarter of 2020, the average homeowner gained approximately $17,000 in equity during the past year. This marks the largest average equity gain since the first quarter of 2014.” This creates peace of mind for anyone who may need to sell (in the fact that it’s not likely many sellers are underwater on their mortgage).
There are also higher standards for loan qualification today than there were in 2006-2008.
Lastly, there are a lot of buyers on the market right now who want to take advantage of our historically low interest rates.
I want to help my clients to make smart real estate decisions so with all the madness in the market and the “headlines” out there that might scare people into thinking we’re heading into another housing bubble, I thought it would be helpful to share these details.
If you’re considering leveraging the equity in your home while also taking advantage of low interest rates, let’s chat! I can put together an equity analysis based on your home’s current market value vs what you owe and we can take a look to see if now is a good time for you to make a move!
