Are you looking to buy or sell a home in the near future? Well, we have good news for you. Based on recent reports, the timeline for selling/buying a home is decreasing.
According to the National Association of Realtors Existing Home Sales Report, the average time to sell a home in June of 2017 was 28 days, which is a significant decrease from 34 days to sell as of last year at the same time. The report summarized that 54% of home across the country were on the market for less than a month in June.
Real estate transaction timelines are often a bane to both the home seller and the prospective buyer, especially when purchasing a new home for the selling party is often contingent on the settlement amount for their original house. For home buyers, being settled in time for school or a new job position to start can add pressure to the home buying process.
With an uptick in the speed of home sales both sellers and buyers will need to plan accordingly when they enter the real estate market. Here are a few ideas of how to be ready:
For Home Buyers
The increased speed of home sales has a direct effect on your ability to acquire the home of your dreams. It cuts down the clock for the transaction process, which is multi-tiered and can be drawn out.
To be ready to act quickly:
- Check your credit. Know where you stand before you meet with a mortgage loan professional to speed their process.
- Get a mortgage pre-approval. Know how much home you can qualify for to ensure the home’s you review are a fit for your finances.
- Write a MUST HAVE and CAN LIVE WITHOUT List. Be as specific as possible with your realtor about the things your home and neighborhood MUST have, and those that are not deal breakers. For example, you must have a sidewalk and great schools nearby, but you can do without a garage.
For Home Sellers
Home sellers gain the benefit of this uptick in sales timelines, but that doesn’t mean you don’t have homework to do. Faster home sales, even with still-low housing inventory, means the competition is increased to sell your home. Be sure your place is ready to sell by:
- Meet with a local real estate professional. They know your local market, what homes are selling for and can assess your property and give recommendations to update for the best sales price. They will also work with you to find your next property and align potential timelines to decrease potential displacement during the settlement process.
An increase in home sales speed is a positive reality for the housing market. That said, be ready to jump into the real estate fray by following the tips above.
Home sellers – connect with a mortgage professional today to get your process started!