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How to survive in todays Market “Home buyer Edition”

How to survive in todays Market “Home buyer Edition”

Written by: Devin Ryder

There is a big difference between sacrifice and compromise. In todays crazy housing market, I am finding one normally outweighs the other. But where can buyers draw the line? Yes, this is sellers market but just because we are seeing increased sacrifice on contracts doesn’t mean you actually have to sacrifice, where security and stability are concerned. For the average home buyer here are my tips and tricks to making sure you keep your security and sanity about you while coming to a medium compromise on your offer submission and home buying in this crazy market.

1. Shop your lender

This may sound scary, but you shop around for your home, why not your financial lenders as well? besides making sure you qualify for your lender ask them the hard questions first. Questions like:

A). Do you do a hard credit or soft credit pull for initial pre-approval review?

This could be the difference between rates for some people. Especially if you are shopping around and have looked into more than 4-5 lenders. Each potential pre-approval with a lender is a potential hard hit on your credit. Find a lender who will do a soft credit hit for your initial and hard credit hit once your offer is submitted. What is the difference between a soft and hard credit check. (Click here).

B). Don’t be afraid of the contingencies, lean into them.

Ask your potential lender before totally settling on them, how quickly they can navigate the appraisal and financial contingencies that are required on your offer submission. Currently as of 5/2022 banks are taking anywhere from 10(with a rush fee)- to 14 days to get an appraisal done. This is an accurate timeline if they aren’t backlogged. There is a lot of backlogging within the credit unions so, if you’re deciding to go that route…. Good luck! A great Lender can get your appraisal in 14 days and your financial contingency covered in 16-18 days depending on your financial circumstances. Finding a lender who can work through the short contingencies that are needed in todays market will help you with your sanity when your closing date comes around.

2). Understand your contract

A). If you’re all in, you’re all in.

I would normally never recommend to my client to cancel out their due diligence period. However in todays crazy market, sometimes this is what sellers are looking for. However, fi you ixnay you due diligence period, make sure on your contract that your agent has explicitly stated you still have the right to inspect. This is where that security and sanity meet. Due diligence is the time frame for home buyers to get their inspection on a property after an offer goes binding (Seller and buyer agree to the conditions for the purchase of the home). If you know in your gut this is the home for you, and you are willing to take on any financial burden to have the home; then by al means cancel out due diligence. However, still get the inspection done!

B) Don’t be afraid to ask your agent for the additional time to explain the contract to you in detail. The more of the contract you understand the more you will understand the compromise you are making, along with having the security of understanding what you’re about to embark on. A good agent will take the time to explain your contract simply.

The Market right now might seem crazy, but with these two important points, you can navigate it without loosing your sanity.

-Devin Ryder RE/MAX One Stop

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Devin Ryder

I'm agent with a taste for life. I love being out in nature and on the waves. I have a background in hospitality and law. I grew up and went to remedial school in Tampa, FL. I graduated summa Cum Laude from Georgia State University in 2019. Since which time, I have been working in the legal field. I decided after the pandemic it was time to put my outgoing and hustling nature to the test. I have a passion for helping people start their next chapter whether it be buying or selling. Let me help you find your next home.

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