We can help you explore your loan options, build a budget, and get pre-approved for a loan in St. Louis – which may make it easier to find your dream home.
All 50 of the largest metro areas in the U.S. face an extremely hot housing market, including St. Louis. Median house prices have risen to $270,000 as of April 2021 – up 17.4% compared to April of 2020. Not only that, but housing inventory has sunk by 52% compared to April 2020.
This has all added up to a “seller’s market,” where desirable homes are snapped up very quickly, often for above market value. How can you navigate this hot housing market and find a great home for a reasonable price? Here are a few suggestions from the Sean Zalmanoff Mortgage Team.
1. Get Pre-Approved For A Mortgage
Unless you’re paying in cash, you absolutely need to be pre-approved for a mortgage before you start shopping for a home. This is because pre-approval means that your lender is very likely (though not 100% guaranteed) to approve your loan. This makes it easier to compete in a hot housing market.
For example, if you’re pre-approved by Sean Zalmanoff: Better Rate Mortgage for a $300K mortgage, a home seller who is selling their home for $250K will know that you can afford their price and is more likely to work with you.
2. Keep An Eye Out For New Listings
Once you know where you want to buy a new home, perform daily searches for new listings. Homes are selling really fast in St. Louis, but if you’re consistent about looking for new listings, you can be one of the first people to take a look at the home – and even put in an offer if everything looks good.
3. Expand Your Search Area
Don’t get your heart set on one area of St. Louis. If you are serious about buying a home soon, you should make sure you have a few top options to choose from.
Take some tours around other neighborhoods – you might like what you see. And the more areas you’re looking for homes in, the more likely you are to spot a home that’s perfect for you and your family.
4. Be Willing To Compromise
So, you’ve found a great house for you and your family. But the kitchen is outdated, and the basement needs work. That’s fine!
As long as the home is in a good location, it’s in your budget, and it’s in good overall shape, compromising on a few things is not bad – especially if it’s something like an outdated kitchen or an unfinished basement, which you can address in the future with renovations.
5. Be Patient
Above all, be patient. Don’t just make a big offer or buy a home that’s not right for you just because you’ve lost out on a few other homes.
Make a list of your “must-haves.” Find homes that fit your needs and your budget. Take tours, get inspections, and make offers. It will take time, but you’ll eventually find the one that’s right for you.