If you’re even THINKING about selling your home, now may be the time to pull the trigger.
Our local NOLA real estate market is unlike anything I’ve ever experienced, and I’ve been writing loans for a long time.
Housing inventory is non-existent. Buyers are competing with other offers on many homes.
That means top dollar for sellers.
And if you plan to buy something else after selling, be prepared.
Let me show you how…
Current Market Conditions
I was on the phone with a first-time homebuyer last night until 10 pm. They have their hearts set on a house in their budget. But the agent tells us there are already 3 offers on the house, and they expect more in the morning.
This is happening almost daily right now.
We have 3 times the number of people trying to buy homes, yet just a small portion can actually get contracts accepted to purchase.
This Is Now Mandatory for Buyers
If you plan on buying a home, I recommend getting fully pre-approved for a loan before you start shopping.
Not pre-qualified.
Anyone can give you a pre-qualification letter. That simply means they’ve glanced at your credit and think you will be able to get a mortgage.
Pre-qualification letters are not taken seriously in this market. Sellers want offers backed by rock-solid letters of approval from reputable lenders.
Walking a Fine Line
If you plan on selling, there’s a good chance you may get offers MORE than your asking price. We’re seeing many situations where buyers are offering more than the sales price by 10-15%.
That’s great for you as a seller.
But if you plan to turn around and buy, you may be facing a similar situation.
If you’re pre-approved, you will know exactly how high you could go in a bidding war without jeopardizing your deposit or loan approval.
Also, be mindful of the appraisal contingency. Meaning that if the house doesn’t appraise for the higher offer, the buyer needs to bring that cash to the table as part of the transaction.
Experience Has Never Mattered More
The reality is that carefully evaluating each buying and selling situation has never been more important than it is today.
Experience matters.
Helping you navigate these life-changing decisions in a demanding market is what gets us out of bed in the morning.
If it’s been a while since we chatted, let’s catch up. I’d love to talk to you about what’s going on in the market right now and how we can help.