The housing market is experiencing a historical housing shortage. Throughout the country, many communities have low housing inventory, which has created a highly competitive environment for buyers. A major contributor to the low supply of inventory is people not choosing to relocate, especially if they are in a home that accommodates working from home or e-learning spaces for their family. Some families have opted to remodel or refinance to a lower rate, knowing that if they sold they most likely would not be able to find a new home to purchase. Some people have turned to new construction homes, as it offers more customization opportunities. However, new construction still cannot keep up with the demand, as material shortages are increasing costs and crews are short staffed.
Even though this is a highly competitive market, buyers are finding creative ways to improve their chances of getting an offer accepted. They will offer several thousand dollars over asking price, waive home inspection clauses, forfeit property tax credits, write letters to make a personal connection with the seller, and even remove home sale and appraisal contingencies.
At Blackhawk Bank, we are here to help guide and educate buyers through these historical times. There are many moving pieces in the home buying process, and working with an experienced lender who can help you navigate the housing market will minimize stress and get you closer to your dream home.
Some of the ways that we help clients succeed is with the pre-qualification process. Because we go through a rigorous process up front when people apply for a mortgage, taking time to review the necessary financials and carefully vet all our buyers at the pre-qualification stage, our final commitment letters are rock solid by closing. When you apply through Blackhawk Bank, you can rest assured knowing that we will be there for you, helping you purchase your desired home.
Additionally, even before someone is ready to purchase a home, we take time to educate clients about the home buying process and how they can prepare. We want you to have a good understanding of your credit score, how it affects the home buying process, and some practical steps you can take to improve your credit. We also want to help you set up a monthly budget and establish an emergency fund, as it will provide extra financial cushion.
We want you to feel confident about the home buying journey, which is why we are committed to helping you every step of the way. Whether buying a home is in the near or distant future, our Mortgage Planners will guide you through the process. Ready to learn more about buying a home? Contact us today!
Author:
Tammy Zurfluh
SVP Mortgage Banking
NMLS#476483