Why You Should Get Prequalified for a Home Loan
First time buyers are one of my all-time favorite groups to work with in a real estate transaction. There is absolutely nothing like buying your first home! From the excitement to the nerves, the wide eyes full of fear of the unknown, the earnest desire to stake one's claim on the planet, and the lofty goals of how to make it your own... it can be a roller coaster of emotions, with some property virgins deeply feeling the highs and lows. Believe it or not, I have a Masters degree in Counseling. No, that wasn't a prerequisite for becoming a REALTOR—although maybe it should be LOL. I am trained to help individuals, couples and families weather storms and come out better on the other side. Applying those skills to house hunting actually comes in very handy!
Get Prequalified for a Home Loan: An Important First Step
Most buyers want to dive right into looking at homes in person. But, it is necessary to do some legwork before the fun stuff. Getting prequalified with a mortgage lender is step #1. You may ask, "Why is that?? I just want to look at allllll the pretty houses!"
First, it takes a lot of time and effort to show a house.
Your buyer's agent must make that appointment, send you the MLS information and related documents (such as maps, tax bill, deed).
There's also the listing agent who coordinates access and schedules.
While you're excited to get in, the seller is frantic: cleaning, packing up the kids and dogs, and getting out of the house so you can check it out. These days it's more than likely at least one occupant is working from home, and the kids are being schooled from home virtually.
A showing is quite disruptive to the seller's daily routine, but they want to sell, so they work with everyone to make showings work.
A prequalification shows you have been vetted by a lender and are qualified to buy their house, making them far more open to working with you to make sure you can see the house of your dreams.
On a related note, it's critical for buyers to understand the market conditions before diving into the deep end. The entire country, and specifically southern Vermont, is experiencing very low inventory (number of homes for sale). Paired with the increased demand for housing in rural areas, this has created a strong SELLER's market. If you find the home of your dreams, but haven't been prequalified yet, you cannot make an attractive offer... and there's nothing worse than finding "the one" only to have it slip away through your fingertips. Doing your footwork in advance puts you in a position to be competitive in a hot and quickly moving market.
Contact me today to learn more about loan types and the best lenders for first time homebuyers.
