Are you looking to buy a home this year? Now might be the last time to get in on the action before mortgage rates rise again.
According to the Mortgage Bankers Association, “The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 3.64% from 3.52% last week.”
So how did we get here, and what steps can you take to secure your dream home?
Emily Searing from Attune RE sat down with one of Attune’s preferred vendors and industry expert Jake Strain, a loan officer at Acquire Mortgage and Real Estate in San Luis Obispo County.
Jake, thank you for speaking with me today. How do you think the mortgage industry is shifting this year?
Strain – Thanks for having me, Emily.
In 2021, we witnessed a refinancing boom. Last year was a sellers’ market, and now with refinancing slowing down, it’s shifting to a buyers’ market.
Even though rates are rising, they are still lower than rates in the pre-pandemic years. It’s still considered a good time to buy.
That’s great to hear. Do you predict that mortgage rates will keep increasing?
Strain – Definitely. Even though we saw recent surges these past two weeks, the current mortgage rates are starting to stabilize. Now is the time to purchase, especially before rates are expected to rise again.
What advice would you give homebuyers when navigating this market?
Strain – Especially in a purchase market, timing is everything. Houses are selling so quickly.
I recommend meeting with a loan officer WELL BEFORE you begin your home search to get pre-approved. Once you submit the required information, we can give you your pre-approval letter within 30 minutes.
That way once you find something you like, you can submit an offer immediately and not run the risk of losing your dream home.
Should first-time homebuyers be nervous to enter this market?
Strain – Not at all. Luckily, first-time homebuyers have access to several loan programs. I would meet with a trusted loan officer as quickly as possible to get pre-qualified and discuss your options.
What are some of the biggest mistakes you see homebuyers make?
Strain – Remember to be mindful of your credit and not make any hard inquiries. Definitely avoid expensive purchases, like a new car, right before buying a house. Stay steady, and ride this out.
How can buyers know that they’re choosing the right loan officer?
Strain – With a major purchase decision like a home, you want a good lender that you can trust.
Especially with how quickly homes are selling now, I would focus on the turnaround time. I’ve seen banks struggle with 30-day closings or even 60-day turnaround times. Banks are able to drag it out and charge more because so many hands touch it.
At Acquire Mortgage and Real Estate, we’re performers. We’re on the ball each and every day to get it done for our clients in a timely manner. Our average turnaround time is 9 to 13 days from submission to close.
Wow that’s impressive! Thank you for taking the time today. How can prospective homebuyers reach you?
Strain – Thank you! You can contact me at [email protected]. I’m looking forward to helping more buyers this year.
The Bottom Line
Buying real estate is a team sport. You’ll need an established support system in place that includes a hardworking agent and a trustworthy loan officer.
Here at Attune Real Estate, we want to be on your team! Contact us today to start your home buying process.
Founded by Lauri Strain in 2020, Attune RE is a boutique real estate firm serving San Luis Obispo County,
Peace, community, and being “attuned” with others are at the core of Attune’s mission. Attune Real Estate offers more than transactional real estate services. We are committed to providing knowledge, care, and awareness to your real estate journey through access to value-packed content, industry experts, and concierge-level amenities.
Today, Lauri’s talented team of agents continues to grow, enabling them to help even more families along the central coast.