Over the last few months I have talked to many clients seeking to buy a home. From first time homebuyers and seasoned home buyers and from newlyweds to relocations.
One thing that has been similar is the number of offers they have had to submit before they had one accepted. The housing market in Ohio, from Cincinnati to Dayton to Columbus to Cleveland, is heating up.
Currently I am working with a couple that submitted an offer 3 days ago. The original offer was going to be $10,000 less than the listing price, but after discussing it with their realtor, they opted to offer what the seller was asking. Why? Because there were 9 other offers already submitted.
So what does this mean? If you are considering buying a home in the not so distant future, get your ducks in a row early. Talk to a loan officer, get a pre-approval, make sure you are happy with the numbers. Then, when you see that perfect home you can pounce.
So what is causing the increase in activity?
A combination of factors. A slight up tick in interest rates combined with 20 months of 20 consecutive months of home sales increasing. More homes selling more than likely means that sales prices are also increasing. Per the Ohio Association of Realtors the average sales price in February 2013 was $125,000 up 7.9% from February 2012. Everything is getting more expensive, rates and prices. This survey conducted by the Ohio Association of Realtors gives you some insight into home prices in Ohio ()
So What can you do?
As I mentioned earlier, get your ducks in a row well ahead of time. Clients that have already been pre-approved are able to get an updated pre-approval in minutes, compared to having to wait to run credit, check guidelines, review income, etc, etc. Reviewing available loan programs and interest rates ahead of time will allow you to make an educated decision on how much to spend on a new home, and not making a snap decision.
What should your next step be?
Talk to a loan officer. You can Contact Me, or fill out the Ohio Mortgage Rate Quote form and I will be in touch soon.
