Paulette Eaton
It is important for buyers in this low-inventory market to be well prepared when making an offer on their dream home.
Across Washington state we have a low housing inventory. This means more competition for home buyers.
What does it mean to be well prepared to buy a house? Get your team in place before you start the process — choose your local Realtor and lender so you are ready to buy.
The No. 1 thing a buyer can do is show how they are going to pay for the home. If you are not purchasing with cash, you must have your financing in place. This means that you should have your lender/mortgage professional chosen and have all your required documentation to your lender so you know what you can afford in your home purchase.
After meeting with your lender first, you will know what type of loan best suits you, how much your monthly payments are going to be, if you need a down payment and if so how much.
If you qualify for a zero-down loan that does not mean zero dollars out of your pocket. Whether you are buying your first home or your fifth home, the days of looking at homes and then deciding who your lender is going to be are long gone.
If you are not prequalified there is going to be a buyer that you are competing with who is prequalified. Interest rates have inched down, which means it may be the perfect time to make your home purchase.
Sam Khater, Freddie Mac’s chief economist, stated in a recent press release, “Concerns about global growth and ongoing trade disputes have pushed long-term interest rates lower, resulting in mortgage rates seeing their lowest level since fall 2017.”
Long-term mortgage rates — specifically the 30-year fixed rate average — is below 4 percent, the lowest point in 21 months. With lenders busy with home loan refinancing and completing loans from the busy spring homebuying season, it makes it all that more important to lock down the details with your lender.
If you have outgrown your current home it may be the perfect time to look at moving up to something larger. Contact your local real estate broker and discuss your options for your next home purchase.
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Paulette Eaton is chair of the Lewis County chapter of Washington Realtors and managing broker at RE/MAX Key Land Company headquartered in Centralia.
