Top 11 Hottest Housing Markets
The Fort Wayne area, #11, landed in the Top 11 hottest housing markets in the nation during August, according to a monthly report released by Realtor.com.
The listing website found that central Ohio was the seventh-hottest market, one step down from its July ranking. The rankings are based on how long properties are listed before going into contract.
“Summer … was one of most competitive buying seasons that we have ever witnessed, fueled by historically low mortgage rates and inventory shortages that resulted in record-high prices,” said Jonathan Smoke, chief economist for Realtor.com.
It has to be frustrating for a potential homebuyer to compete in a hot market. So what can you do to be the best competitor?
- Before house hunting, get pre-qualified – talking to different lenders and seeing not only who offers the best rates and terms, but also manageable fees and costs. Lender fees can vary quite a bit from one to the next. The mortgage industry has three main types of lenders: big banks and credit unions, mortgage bankers and mortgage brokers. The big banks have checking and savings accounts and car loans and home loans and just about anything you might need for your financial needs. Mortgage bankers focus on home loans and they use their own funds to make loans. Mortgage brokers contract with banks, mortgage bankers and private lenders to arrange for home loans. Pre-qualification gives you great information about how much house you can afford and allows you to move quickly if you find the right house.
- Pre-qualified is not the same as pre-approved – With pre-approval, you will receive a conditional commitment in writing for an exact loan amount, allowing you to look for a home at or below that price level. Obviously, this puts you at an advantage when dealing with a potential seller, as he or she will know you’re one step closer to obtaining an actual mortgage.
- Get professional help – Find a realtor you can trust. Yes, you have unprecedented internet access to sellers’ information, but a realtor has years of experience that can help you with everything from the area, the appraising of a dwelling, the paperwork, the comparisons, and negotiation on price. If you need help finding a qualified agent, JT Integrity Properties knows many agents we can refer you to for your first home purchase. Keep in mind that we can also help you find your dream home. Sometimes we allow buyers to choose finishes in the house before we have finished the rehab, that way you can customize the home to your liking.
- Make an Offer – Your real estate agent will help you decide how much money you want to offer for the house along with any conditions you want to ask for, like having the buyer pay for your closing costs. Your agent will then present the offer to the seller’s agent; the seller will either reject, accept your offer, or issue a counter-offer. You can then accept, or continue to go back and forth until you either reach a deal or decide to call it quits. Remember Omaha is a red hot market. If you reach an agreement, you’ll make a good-faith deposit and the process then transitions into escrow. Escrow is a short period of time (often about 30 days) where the seller takes the house off the market with the contractual expectation that you will buy the house – provided you don’t find any serious problems with it when you inspect it.
- Beware of sleeper costs – Comparing the monthly mortgage payments to paying rent is only part of the story. The bank may require property taxes and insurance to be part of the monthly mortgage payment. Then there’s the unexpected. When a couple I know first moved into their house, the front, cement porch collapsed costing them $1.500 to repair.
- Always hire a home inspector – “You should hire your own home inspector, preferably an engineer with experience in doing home surveys in the area where you are buying. His or her job will be to point out potential problems that could require costly repairs down the road.”
JT Integrity Properties is here to help homeowners out of any kind of distressed situation. As investors, we are in business to make a modest profit on any deal, however we can help homeowners out of just about any situation, no matter what! There are no fees, upfront costs, commissions, or anything else. Just the simple honest truth about your home and how we can help you sell it fast to resolve any situation.
Give us a call today at 260-202-2222 to let us know what YOU need help with!