Following a summer full of activity for the real estate market, all signs point to a robust fall. There are still many buyers who have yet to find the home they want and will be out looking. Despite the strong market, there are still many home sellers who listed their properties in the spring or summer and were unable to sell. Here are four considerations for all buyers and sellers to take into account this fall:
Both buyers and sellers need to realize that prices indeed have increased over the past year. Buyers need to be willing to pay more than they would have last year or even very early this year. Conversely, sellers shouldn’t get caught up in the positive hype and price their homes beyond what the market will bear. If your neighbor’s property sold this summer for an inflated price, it might be because he or she listed back in the spring when the inventory was very low, which probably caused a bidding war and a buyer to pay more for that home. In the fall market, it is possible that you will not be able to get the same price.
Showings before dark
The clocks change Nov. 1, and the days are getting shorter. Buyers should make every effort to see homes in the afternoon so they can look at the property in the light of day. Sellers should do all they can to accommodate buyers who want to see their home during daylight hours. Remember: There are a lot more properties for buyers to choose from, so not allowing them to see your home could cost you.
Effective Oct. 3, there will be significant changes to mortgage and real estate closing procedures that have been in place for more than 30 years. These changes are a part of the Dodd-Frank Wall Street Reform and Consumer Protection Act that passed in 2010 and created the Consumer Financial Protection Bureau. Many fear these changes for various reasons. I actually like them because they will provide home buyers with closing-cost numbers three days before closing. For longer than I have been in this business, buyers have been receiving those costs only a few hours prior to closing and, in many cases, at it. This just adds to home buyer anxiety and is unnecessary. I do agree that with any new process there will be delays, but I do not believe they will be long ones. If you submit a mortgage application after Oct. 3, be sure to check with your mortgage broker, attorney, and realtor to confirm the closing date will work for all parties involved.
Mortgage interest rates