Don't Miss Out on Moving in Charlotte's Summer Market
With record-low inventory nationwide, the challenge of finding a new home seems to be a common refrain: "I'd move, but where would I go?" As real estate experts in the Charlotte market, we understand this dilemma. Inventory levels are at all-time lows, with just 465,000 active listings across the country, leaving us far from a balanced market with over a million listings needed. But fear not! We have solutions and steps to help you make your move this summer. Let's dive in and get you started.
Solution 1: Consider Building a Home
One viable solution is to explore the option of building a home instead of searching for scarce resale inventory. There are several advantages to this choice. Firstly, many builders offer in-house financing that includes buying down interest rates. Currently, builders are closing loans in the range of 4.5% to 5.5%, which is better than market rates. Secondly, a new home means no rehab or inspection issues. Your client can put their home on the market a couple of months before completion, eliminating the need to move twice. Lastly, building a home means avoiding bidding wars. Approximately 30% of available homes are new constructions, providing a less competitive environment.
Solution 2: Sell First and Rent Temporarily
Another option to consider is selling your current home first, cashing out on your equity, and then renting for a while. This approach allows you to be ready to make a move when the right home comes along, without the added pressure of coordinating closing and possession dates. By selling first, you have the financial flexibility to pounce on the ideal home without the constraint of a concurrent sale.
Solution 3: Use Contingencies to Secure a New Home
If you're eager to get your current home on the market but worried about finding suitable housing, you can make the acceptance of an offer contingent on finding the right home. Negotiate with buyers for a specific timeframe, typically around 90 to 120 days, to secure your next home. This arrangement provides peace of mind while allowing you to actively search for the perfect property without feeling rushed.
Now, let's outline the steps to initiate your move this summer.
- Get preapproved:
Whether you're a renter or homeowner, start by getting preapproved for a mortgage on your new home. Collect the necessary financial documentation such as pay stubs, bank statements, tax information from the last two years, and a list of monthly debts. A preapproval gives you an understanding of your affordability and expedites the financing process.
1a. Current homeowners, list your home right away: While obtaining your preapproval, list your current home for sale. Summer is a prime time for real estate transactions, with properties often selling faster and at higher prices. By listing now, you increase the likelihood of funding your next purchase and settling into a new home before summer ends.
1b. Renters, review your lease: As you go through the preapproval process, review the details of your lease. Take note of the expiration date and any penalties associated with early termination. Give your landlord the required notice, typically at least 30 days in writing, to avoid unexpected expenses.
Make your must-have list:
Before starting your property search, create a must-have and must-not-have list. Clearly define your preferences, including location, size, bedrooms, bathrooms, and desired features. Know your price range based on your preapproval letter, and identify deal-breakers. Strive for specificity while maintaining some flexibility.Get in touch with us. Communicate your ideal timeline, provide your preapproval amount, and share your must-have list. With this information, we can begin finding suitable properties. Once you find a home you want to buy, we will assist in constructing a competitive offer, facilitating a quick closing.
With these strategies and steps, you'll be well on your way to making your move this summer. The real estate market may present challenges, but with careful planning and the support of an experienced realtor, you can seize the opportunity. Get in touch with us today, and let's work together to find your dream home.
