As the days get hotter, some homebuyers may be hoping to snag a house before the school year starts back up. Yet competition for homes may be high, so you’ll want to be sure you can really get a seller’s attention once you’re ready to make an offer.
We’ve got tips for homebuyers looking to seal the deal on their dream home this season.
Summer Housing Market Dynamics
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Historically, peak buying season has come during the spring months of April to June, according to the National Association of Realtors®.1 But demand can carry over from spring into the summer months, fueling competition between buyers. By late summer—August—demand usually cools off some.2
This year’s market has stayed relatively cool, with many potential buyers waiting to see what the economy might do before making a move.3 However, housing market dynamics may vary significantly depending on where you live.
If you’re trying to lock in a house in a competitive market, you may make your bid on a home stronger by securing pre-approval.**
Why Homebuyers Should Get Pre-Approved
If you’re hunting for a home, pre-approval is beneficial for several reasons:
- Know What You Can Afford: Pre-approval tells you exactly how large a loan you can get, helping you sharpen your home search.
- Show Sellers Your Buying Power: Once you make an offer on a home you love, showing the seller a pre-approval letter lets them know you’re a serious buyer with the financials to back up your offer.
- Streamline Your Mortgage Application: Completing pre-approval means you’ve already done much of the work and provided much of the necessary documentation to secure your mortgage.
Is It Hard to Get Pre-Approved?
Getting pre-approved is simple and typically only takes a few minutes. Reach out to a Newrez team member and provide proof of your income and assets. From there we will perform a full credit-check and, if you qualify, we will pre-approve you for a loan.
Pre-approval means you are conditionally approved for a loan. Conditions of final approval include the execution of a home purchase and appropriate appraisal and title documentation.
Navigate the Housing Market with Confidence
Searching for the right home can be exciting, but a bit nerve-wracking. If you’re ready to lock in on a new home, pre-approval may help you narrow down your search and make a persuasive bid to a seller.
Want to get started on your pre-approval? Reach out to a Newrez mortgage expert today.
National Association of Realtors® is a registered trademark of the National Association of Realtors and is not affiliated with Newrez LLC.
References:
1 Navigating the Housing Market: A Seasonal Perspective
2 https://www.forbes.com/advisor/mortgages/best-time-to-buy-a-house/
3 Rising Mortgage Rates and Recession Fears Stall a Fragile Housing Market - The New York Times
