The real estate market is expected to experience extensive growth, especially within two specific buyer demographics, including millennials (ages 18-34) and baby boomers (ages 53 and 71). Also, there’s a lower-than-average inventory of homes on the market. In fact, research gathered earlier this year suggests inventory homes on the market pre-spring are down an average of 12 percent. How will such an active market scenario impact serious buyers during the home buying and selling season?
Quite simply, highly-desirable luxury and family-ready, move-up homes will show and move at faster- than-normal timeframes. Homebuyers, take heed.
Pre-Approvals are Key
Mortgage pre-approval in this fast-moving market gives homebuyers a competitive advantage over
their counterparts also in the market for a new home. Meaning, new and experienced home buyers alike can start house hunting with peace-of-mind, along with their specified budget. Truly, possessing mortgage pre-approval takes the guesswork out of house-hunting.
“In today’s real estate market, we’re seeing multiple offers on listings, so it’s especially important to first obtain mortgage pre-approval,” said Dean Pilcher, Vice President and Area Sales Manager for First Bank Mortgage in St. Louis. “Pre-approvals will definitely set you apart from other buyers. In fact, many agents will not even submit a sales contract, or offer, to the seller without first including a pre-approval letter from a reputable lender.”
Mortgage and Pre-Approval Solutions
Purchase First, available through First Bank Mortgage, offers home buyers the fastest path to owning the home, or vacation home, of their dreams. Whether you’re purchasing your second home or just desire to move up to a larger space, Purchase First is designed to help potential buyers take possession of their home sooner. This offers clear-cut advantages, like allowing home buyers the opportunity to make a solid offer on a home; while also demonstrating to sellers and agents you’re a serious home buyer with the necessary income and qualifications to purchase.
“Once you have an accepted contract on the home of your dreams,” Pilcher added, “buyers can lock in their mortgage rate quicker because of their pre-approval, offering protection in the event prime rates rise before closing.”
How Does Purchase First Work?
With Purchase First, First Bank Mortgage can close a loan in as little as 14 days with pre-approval, and no longer than 21 days–guaranteed*. “Simply allow us to pre-approve you for your new home purchase before beginning the search process. Take your Purchase First pre-approval along with you as you search for your home,” said Pilcher. Once you sign the Purchase Contract, send it to your personal Home Loan Consultant, and First Bank Mortgage will have your loan closed when you are ready to move in.
*To participate in this expedited process, all applicable credit documentation must be provided at the time of loan application. Under the Purchase First Program, First Bank will be ready to close your loan within 14 days if we pre-approve you. If your loan takes longer to close than we guarantee due to a delay by First Bank, we will credit you at closing with $250.00 to be credited towards your closing costs. Program available on all applications received between March 1, 2017 and July 31, 2017 that close and fund by December 31, 2017. See a Home Loan Consultant for details. Sources: U.S. Census Bureau. Jan 2017 St Louis REALTORS Housing Report