How To Think Strategically as a Denver Home Buyer in Today’s Market
December 18, 2021
The below post is a transcription from one of our recent videos. We have added additional information about the topic as well as additional graphics and resources. We hope you find this information helpful, and if there is a real estate topic you would like us to cover, please reach out! We love helping provide Real Estate information for the Denver metro area, which helps our real estate clients and anyone who could use the help.
When buying a Denver home, chess can provide valuable lessons to take with you. From the beginning of the game, you must plan and think about your strategy.
As in chess, planning and strategy are essential to the home buying process. As you begin your home search, here are a few things to consider.
Pre-Approval: the Best Opening Play To Make as a Homebuyer
You should have a great opening play when you’re purchasing a home. Getting pre-approved by a lender is the best move you can make when you begin your Denver home search. What is pre-approval, and what are its benefits? You’ve probably heard this is an important step, but what does it mean?
“The pre-approval letter from your lender tells you the maximum amount you are qualified to borrow. Getting a pre-approval letter is not a loan guarantee, it simply states how much your lender is willing to lend you. . . .”
Although determining what you can afford at the beginning of your search is essential, a pre-approval letter also serves another purpose. Freddie Mac also notes:
“This pre-approval allows you to look for a home with greater confidence and demonstrates to the seller that you are a serious buyer.”
A strong opening move shows your opponent that you’re serious in chess. The pre-approval letter you receive as a homebuyer indicates to the seller that you are serious and ready to buy.
Homebuying: It’s a Team Game, Not a Single-Player Experience
The steps you take to create your strategy as a buyer in today’s market are essential. Why? Mortgage rates are still low, but they are rising.Denver home prices are rising. Homes are in short supply. Those are just a few critical factors you need to prepare for in the current market.
Thus, it would help if you relied on expert advice when planning every move. To ensure that you make the right decisions, have a team of professionals, such as a real estate agent and a loan officer, at your side.
Pre-approval letters aren’t just a good strategy; they can change the game. It helps you get a clear picture of what you can afford and signals to sellers that you’re serious about purchasing. Don’t hesitate to get in touch with me today so we can ensure you are playing the chess game and being strategic during the home buying process.
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