Spring is the hottest home buying season, and this year, we are beginning to see a market shift, says Michael Litzner, Broker of Century 21 American Homes. Once a buyer's dream, the market is now shifting back toward the seller's side. What does this mean for you, the buyer? If you are looking for a new home this spring and summer, you may be in for a little competition.
Don't let this deter you. In order to get your dream home for your dream price, become the best possible buyer you can be-before you even begin looking. This way, when you are dealing with a seller, you will have all of your ducks in a row, and they will take your offer seriously.
Below are Litzner's tips for becoming a better buyer.
Be pre-approved. "Many sellers won't even consider buyers who aren't already pre-approved for a mortgage, so do yourself a favor and take care of this before you even begin hunting," says Litzner.
Understand your credit score. It's not just enough to know your credit score. Thoroughly understand it, and know what it means for your lending status. And don't just stop with one credit report. "Most lenders pull scores from all three major credit bureaus, so make sure you do the same so you're familiar with the same numbers," suggests Litzner.
Look past your credit score. Now that you've got a solid handle on your credit, move forward. It's not the be-all and end-all. Lenders will focus on other things as well, such as your income, your debt-to-income ratio, and how much of a down payment you plan on putting forward. Which brings us to…
How much down payment can you afford? A lender will be more eager to approve you if you can put down a larger down payment. How much is enough? Litzner suggests having at least 20 percent of the purchase cost on hand.
Can you do cash? While it may be a stretch for some, being able to make your offer in cash will make you a dream buyer. So if you can swing it, then this may be the way to go in order to surpass competition.
For more information on buying a home, please contact Century 21 American Homes at 1-800-270-6318.
Century 21 American Homes is one of the fastest growing real estate brokerages serving Long Island, Queens and Brooklyn. To find out more about an exciting career in real estate contact us at email@example.com.