5 Tips for Getting an Affordable Mortgage – and a Beautiful Home – Amid Rising Rates and Stiff Competition.
If you're a first time home buyer, or a young family hoping to buy a bigger place, don't get discouraged with the current real estate market conditions. It's time to think outside the box, widen your search, and explore all available opportunities for finding your dream home.
Sound advice from BMC Keystone Home Mortgage, one of Pennsylvania's most trusted Mortgage Advisors:
The current housing market is tough, especially on first time homebuyers. Without any built-up equity from a previous property, it’s hard to get into today’s high-stakes game. Mortgage interest rates are on the rise, but the bigger issue for buyers is the lack of homes for sale in eastern Pennsylvania. With lots of qualified buyers competing for a limited number of desirable homes, listings don’t stay on the market for long. Buyers have to be prepared to make a fast offer and, in many cases, willing to offer more than asking price.
There is a better way to go about buying your dream home. We’re going to share our 30+ expertise with you, but you need to keep an open mind.
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Explore different (and less common) mortgage loan programs
There are so many affordable loan programs that don’t require a 20% down payment in order to qualify. Apart from the typical Conventional or FHA loans, there are loans that strive to make it easier for Americans to own a home.
- Home buyer Assistance Programs
- USDA Rural Development Loans
- Renovation Loans
- VA Loans
- Niche Portfolio Loans
- All Conventional and FHA Loans
Just like any loan program, these mortgages have requirements to meet and may not be available in all areas. But it is worth investigating! As a mortgage broker, we comparison shop the mortgage market for you. We have access to wholesale rates and little-know loan programs that can open up a world of possibilities for you.
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Be prepared to make an offer.
Home buyers in today’s market will need to act fast, and that means being prepared with a letter of pre-qualification. Sellers will not even consider an offer that is contingent upon you getting approved for a mortgage. You need to have that lined up in advance.
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Set reasonable expectations before you start looking at house.
Know how much house you can afford before you schedule a tour. Falling in love now and figuring out how to pay for it later is never a good strategy.
Feel free to request a free mortgage consultation.
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Don’t limit your search to a certain zip code.
You may have your heart set on particular neighborhood but widening your search area could lead to lower home prices, more land, and more value for your money.
Searching for houses in high-demand areas will only increase your competition. And it increases the chance for you to get sucked into a bidding war to get that dream house. We’ve seen buyers offering $75,000-$100,000 over asking price. Can you imagine what else you could do with that money?
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Buy the ugly house.
When you can’t seem to find the “perfect” house, consider a renovation loan. Smart renovations on an older, outdated home add value to a home and instantly build equity. And with the right type of mortgage loan, you can finance those renovations as part of your mortgage and ultimately get into a home that looks and feels brand new. So rather than offer $75,000 over asking price, build those funds into a mortgage that provides the funds for the purchase and the renovations.
Learn more https://bmckeystone.com/renovation-loans/
When you work with BMC Keystone Home Mortgage, we become a team. We work with you, your real estate agent, and your lender to structure your offer so that it’s competitive and fits within your comfort zone. Our home buyers know what to expect during the buying process. They understand how much house they can afford so that when they find the perfect house, they are ready to make an informed decision…and a fast offer.
Request a Free Mortgage Consultation
Schedule a free mortgage consultation today, and start making a plan for home ownership! Before you start the emotional process of searching for homes, understand how much home you can afford. Let BMC Keystone shop the mortgage market and propose a different options that fit your budget.
Meet with an experienced Mortgage Advisor
Explore loan types and home buyer programs and see if you might qualify
