Tag Archives: mortgage

Want an Edge on Rising Mortgage Rates? Buy NOW!

Mortgage rates are still at historic lows, but they’re quickly on the rise once again. They are expected to reach numbers that are higher than they’ve been in a few years, and are climbing fast. Rates have gone up to 4.28% in recent weeks, and appear to continue to progress upwards.

This sort of information can be scary if you’re considering buying a home in the future. How should you translate numbers like that for your family’s needs? What does this mean for your dreams of purchasing a new home?

The best way for you to jump ahead of the mortgage rate increases is to buy NOW!

A Steady Increase

Rates will continue to rise, according to the Federal Reserve. There’s no sign that they’ll be dropping again for a while. These rising rates mean that waiting will cause your interest rates to rise substantially versus what you could find right now. By pulling the trigger now, you can avoid a much higher rate in the future. You’ll lock in a rate that will be substantially lower than your friends who will wait a year or more to purchase.

While the temptation to “wait it out” is strong,  there’s no indication that waiting will mean rates will be any lower. In fact, the trends indicate that the rates will only continue to climb higher than they’ve been in several years. By purchasing now, you can lock in a rate that will cost you less and give you an edge over the higher rates on the horizon.

Beat the Competition

The Spring housing market is just around the corner. Spring is historically the busiest time for buyers. By speeding up your purchase timeline, you can avoid the competition and secure your new home before the market goes berserk. You can save yourself from potential bidding wars and lock in a lower interest rate before they climb further.

Shopping for a home now makes sense for several reasons. You’ll be able to find the home your family has dreamed of without the competition brought by other buyers. You can purchase now free from the added stress of the spring season in real estate, all while locking in a rate you’ll be glad you secured a few months from now.

How to Make Your Move

It’s clear that now is the best time to go ahead with the purchase of your next home. But where do you start? Give us a call here at The Silva Group. We’d love to guide you along this journey. We can help you find the home of your dreams in record time so that you can reap the benefits of this exciting time in the market and get ahead of these rate increases. Give us a call today!

One of the Best Moves You Can Make Before Buying Your Next Home

The time has come for you to find your next home. There are plenty of points on a to-do list that you’ll check off. You’ll find the right agent, choose your perfect neighborhood, and make a list of the features you want in a home. All of these are great steps!

While the best move you can make toward your next home purchase may not sound extremely exciting, but it’s arguably one of the most important.

Get preapproved for your home loan.

Today’s market is becoming more and more competitive. Buyers are learning they need to stand out. Often, multiple buyers will vie for the same home. Mortgage preapproval gives you, as a buyer, an edge.

Preapproval shows sellers that you are a serious buyer. It can make your offer stand out from other, less serious, potential buyers. It shows that you have done the work and secured the money to move forward with a purchase.

Not only will preapproval give you an edge as a buyer, it can also give you a more realistic idea of your home budget. Knowing exactly how much money you’ll be able to spend on a home will manage any expectations you have going into the home buying process. It can eliminate wasted time viewing homes that are outside of your actual budget.

In order to start the process of preapproval, you’ll need to decide upon a lender. By working with experienced agents like us here in The Silva Group, you can get matched with a tried and trusted lender. Seeking out a lender is a scary prospect for most people, and working with your agent’s trusted lender can give you some peace of mind.

A lender will determine just how much money you’re preapproved for by looking at the 4 C’s: capacity (if you’ll be able to make payments), capital (what you have that can translate into cash), collateral (the type of home you’re looking to buy), and credit (your credit score). These factors are the equation a lender will use to determine what type of mortgage you can qualify for.

Once you’ve got your preapproval in hand, you can set forth on the more exciting parts of the home buying process. You will have confidence that many other buyers won’t have. You’ll be able to walk into homes knowing exactly what you can and cannot spend. It will speed up the process and make you more attractive to sellers.

Preapproval may not sound exciting at first, but it is arguably the best move you can make to start the exciting process of your next home purchase.