5 Things to Remember When Buying Your First Home

What are the things you should remember as a first-time homebuyer? I’ve compiled a list of five tips to help the process go smoothly.

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What do you need to know when you’re buying your first home? I’ve compiled a list of things to remember:

1. How much money do you need to put down? A lot of times you’re thinking you need to put down 20% when you could actually get a loan that lets you put as little as 0% down on your first home.

2. What is your credit score? A common misconception is that your credit score needs to be in the high 700s for you to be able to buy a home. The reality is that a good 30% of people who got loans in the last two quarters had less than a 700 credit score. Even if you think you’ve got a low credit score, run it by a lender anyway. You may be surprised and qualify for a home loan.

Even if you think you’ve got a low credit score, run it by a lender anyway.

3. Make sure to get a pre-approval. To make the process more smooth, meet with a lender to get yourself pre-approved before you even start looking at homes. That way you know that you’re ready to start the process when you find your new home.

4. Are there any assistance programs that you qualify for? If you’re struggling to come up with a down payment for your first home, there are assistance programs designed to help remove some of that burden.

There have also been changes to how student loans are treated by lenders, meaning it’s easier to qualify for a mortgage today. Take the time to buy a house now instead of waiting, as the guidelines may change in the future and make it more difficult to buy a home later down the road.

5. Be sure to hire an expert advisor. Hire a real estate agent who has experience in helping first-time buyers navigate the process. All of the agents on my team are here to help you, guide you, and counsel you. We want to make the home buying experience as enjoyable as possible and help you realize your dream of owning your first home.

If you have any other real estate questions or you’re looking to buy or sell a home, please give me a call. I’d be happy to help.

How to Win a Bidding War

If you want your offer to be seen by sellers for the property of your dreams, here are a few simple steps you can take to win a bidding war.

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As you know, the market in Charlotte is a seller’s market. Many homes in the $400,000 or less range are turning into bidding wars, and these situations can have nine or more offers on one property. In this highly competitive market, how can you make your offer stand out from the rest?

If you want your offer to be seen by sellers for the property of your dreams, here are a few simple steps you can take.

1. Having a competitive price is key. Your agent should share what other homes have gone for when there have been multiple offers. This information will help you decide on an offer that will stand out from the pack.

2. Don’t expect sellers to cover closing costs. In a multiple offer situation, sellers rarely accept offers that ask for them to cover closing costs. To gain that edge over your competition, ensure that your bid covers those costs.

3. Think about the time frame. Sellers generally expect a 30-to 45-day window of time between the moment your contract is signed and the day you close. Your offer will stand out if you can stay as close to that timeframe as possible.

4. Make sure you’re pre-approved by lenders, not just pre-qualified. Sellers are looking for pre-approvals in a multiple offer situation. This means that you’ve gone through the underwriting process, turned in your paperwork, and are just waiting for an acceptance on a house. The extra legwork will put your offer ahead of anyone who hasn’t been pre-approved. For an added edge, try and get approval from a respected local lender.

5. Listen to your agent. We are professionals with a lot of experience with these types of situations. We’ll give you a list of suggestions that will ensure that you’ll be noticed by sellers and put your offer above the rest. Let us provide you with sophisticated strategies that will help you get the home of your dreams.

We are professionals with a lot of experience with these types of situations.

If you have any questions regarding bidding wars or anything else related to real estate in the Charlotte area, give me a call. I’d be happy to help.

What’s Happening in the Charlotte Real Estate Market?

What is happening in the Charlotte real estate market as we start the spring selling season?

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A lot has transpired over the last three months in the Charlotte real estate market. What’s happening as we enter the second quarter and the spring selling season?

So far, the second quarter is off to a strong start. New listings increased by 6.1% in the first week of the second quarter, with 1,471 new listings on the market. Pending sales also increased by 15% with 1,250 homes under contract at the start of the second quarter. So, buyers are out there and looking to make a deal.

The big issue in our market right now is housing inventory. Inventory dropped 19.3%, with only 9,360 homes available on the market. As a result, home prices are on the rise and buyers often find themselves in multiple offer situations.

As the first quarter ended, the average sales price went up 10.3% to $271,166. Days on market has dropped to 55 days, and we only have 2.5 months of inventory on the market, which places us in a strong seller’s market.

Despite all of this, sellers still aren’t getting out there and listing their homes. Even if you are not thinking of selling your house for another three to five years, you need to know that the market is strong right now. Plus, those historically low interest rates are starting to tick up to the mid-4% range; some loans are already at 5%. All market indicators show that interest rates will only continue to rise.

We are in a strong seller’s market, but housing affordability is still strong.

If you have any life-changing moves in the next couple of years, it’s a good idea to explore your home selling options right now; prices are back to where they were in 2006 and interest rates won’t be this low for much longer.

The good news for buyers is that the housing affordability index is still strong at 135, which means that the median income in our area is 135% of what it takes to buy a median-priced home in the Charlotte market. That is great news because, in our community, rents continue to skyrocket.

Whether you are exploring your options for selling or trying to find a home in this competitive market, we are here to help you. If you have any questions, just give us a call. We look forward to hearing from you!