A few general concepts to help you prevail with your potential offer. Please contact us and we will strategize together how to submit an offer as it relates to financing, based on our extensive experiences. The market is requiring aggressive posturing with multiple offers being so frequently at play and the current competition being so intense.
Important concepts to consider for purchases:
- Loan package must be fully ready to issue disclosures when there is finally an open escrow.
- 30 day closes are possible with many transactions.
- We can issue DU (direct underwriting) approval upfront for many programs (which means you are officially approved for the loan).
- Another common technique is to cut an appraisal contingency down to 5 days.
- Never waive an inspection contingency.
- With condos, the listing agent should provide contact HOA phone numbers at the opening of escrow (Naturally your agent would have vetted the property pre your offer).
A few random thoughts to help you get to the escrow level:
- Waiving all conditions ASAP.
- Release of the deposit– if money is needed by the seller and you are approved.
- Offer a 30 day lease back if the seller does not have a new property for the relocation.
These are just a few important thoughts to proceed with a successful purchase.
The language at the Fed meeting this morning references improvements across the board in the overall economy, although the comment was made ‘they’ could be more robust. The takeaway factor was the expectaion of inflation. Historically this inflation language triggers many to buy real estate as a hedge.
Extreme Market volatility with the bond markets— which is the driver with interest rates. No one expected rates to be jumping the way we are experiencing but the election triggered this chaos. Long term, the issue is the Fed’s decision with interest rates. In reality, the feeling is that one rate hike should be enough to return the policy to neutral and December seems to be the target. It is proposed that we will see medium term growth in the economy due to Trump’s infrastructure spending…