With this weekend's rain (and hail in some areas) expect a good deal of traffic at next weekend's open houses! There are a lot of Buyers out there with not a ton of properties to choose from. Now is a time where it is absolutely essential to be ready to act quickly if something you like comes available.
That means...
-Figure out an area you would like to purchase in
-Find an agent you trust who knows the area
-Get a pre-qualification letter (or better yet, a Pre-Approval) from your lender. This is crucial because what you feel comfortable spending may not be what the bank feels comfortable with you spending! We are in a period of conservative lenders, and as such expect banks to be cautious.
-Keep your finances in place as much as you can and try not to open new credit cards or move monies around.
-Attempt to be flexible in your schedule-- if your agent calls you and says a new property is on the market and looks like something you are interested in (s)he may try to get you in before the Open House. This is for your benefit- we are seeing many occasions where there are 3 or more offers on a property before it has even had an Open House! Your agent is working hard to schedule you in and get you a chance to make an offer that will be seriously and carefully reviewed- before the masses pour in! :)
Most importantly, know that your Agent is here to help you and can be an invaluable resource. I get calls from clients looking for a trusted plumber years after they have purchased their home. Most agents can refer you to a good agent in another city or state if you have a family member moving. We know appraisers, moving companies, roofers, lawyers and people from all walks of life- chances are we can connect you with someone you'd like to connect with. We are happy to answer questions and try to be as accessible as possible- and we are always happy to hear from you.
Lastly, I'd like to share a VERY brief article from the MLS regarding interest rates-
Mortgage rates move up, still offer high affordability for buyers
Mar 15 2012 3:40PMA recent report reveals that mortgage rates for the week ending March 15 increased but are still below 4 percent, providing potential buyers and current homeowners great opportunities for purchasing and refinancing.
Freddie Mac's Primary Mortgage Market Survey shows the 30-year fixed-rate mortgage rate averaged 3.92 percent, up from the previous week when it averaged 3.88 percent but is much less than this time last year when the 30-year FRM averaged 4.76 percent.
The 15-year FRM rate was also up, averaging 3.16 percent compared to the week before when it averaged 3.13 percent. Freddie Mac notes that a year ago, the 15-year FRM averaged 3.97 percent.
Additionally, the 5-year adjustable-rate mortgage rate averaged 2.83 percent, higher than last week's average of 2.81 percent and well below this time last year when the 5-year ARM rate averaged 3.57 percent.
While many potential buyers in Southern California have been waiting for rates and home prices to reach their lowest before looking for a home, real estate experts say the market will continue to be in their favor.
Tip of the Week- Spring is here and hopefully we will be moving into some warmer weather! Now is a great time to flip or replace your mattress. There are all kinds of yucky things (Google it if you are interested but prepare to be grossed out) that hide in mattresses, and with the pollen count preparing to skyrocket as we change seasons, do what you can at home to reduce allergens.
