It’s true that the ongoing pandemic has changed life for almost everyone. Buying a home is not excluded on that list of changes! Buying a home is already an overwhelming task, but in the midst of a pandemic, it becomes even more difficult. If you’re trying to purchase a home and feeling challenged by the current circumstances, you’re not alone. Many home buyers are in a similar situation.
Help is out there… like this blog!
Keep reading to find a guide for buying a home during a pandemic.
While house tours are still a part of the home buying process, they’ve changed. No longer can a home buyer show up at the last minute or unexpected at the home of a seller. Instead, appointments are made and are strictly adhered to. This gives homeowners a chance to clean, sanitize and vacate their house, so that the buyer can enter the home without close contact. Typically, only a certain number of people are allowed to tour the home at one time. Your real estate agent can help you with this.
Virtual house tours are appreciated by most sellers. They’re also easier for buyers and sellers. A virtual house tour is a good first-step for a home buyer who is not sure whether they are interested in a property. If the virtual house tour goes well, then the buyer may schedule an in-person tour later.
Bidding Wars: Be Prepared
According to Redfin, almost half of the homes that sold during the first week of July were on the market for two weeks or less. What does this mean? The market is hot and there’s a lot of competition for homes that are being sold. When you find your perfect home, come prepared to make your best offer. If you’re in love with a property, make the offer fast!
- Get pre-approved (not just pre-qualified!) before making an offer on a home.
- Know what you want, so you’ll be ready to make an offer as soon as the opportunity arises.
- Don’t try to negotiate. Offer to pay at or above the asking price, if it’s a house you really want.
Finances Will Be Looked At More
Lenders get nervous at times of economic uncertainty. They’ll be looking carefully at your finances when you apply for a mortgage. Have your financial paperwork ready from early on in the home-buying process, and avoid making any significant changes to your financial situation before the close of escrow. Don’t borrow money to buy a new car, buy a new set of furniture, and definitely don’t switch jobs. Keep your documents on hand throughout the relocation and home purchase to ensure a smooth underwriting process.
Leave Yourself Some Extra Money After Making a Down Payment
It’s never a good idea to deplete your savings, but it’s especially bad practice in the midst of a pandemic. Leave yourself financial wiggle room, so that you’re able to absorb changes to your employment situation as they occur. This may mean buying a less expensive house, and borrowing more to avoid putting all your savings down on the down payment. Avoid buying a house that will deplete your savings in repairs. Turn-key is best!
What All of This Means
It is possible to buy a beautiful house right now, but it’s important to work with the experts. Get help from professionals who understand what is happening in the housing market right now, and who can help walk you through the home buying process. Mid America Mortgage can help. Call today to find out more about how you can safely buy a home during this unusual time.