So maybe you spent the last month visiting relatives from coast to coast wondering why you’re doing all the traveling and luggage schlepping while they get to stay buttoned up in the comfort of their home. If you’ve decided that 2016 is the year you end the madness and plant roots by buying your own home, you’ve come to the right place!
The last 3 months have brought pretty enormous changes to the L.A. real estate market. For starters, new federal mortgage red-tape, called TRID, has caused crazy delays in processing loans so that the average time it takes to close a transaction is surpassing 30 days. Combine this with seasonal limited home inventory, rising home prices, rising rates and continuing competition from cash buyers/flippers and one can see why many buyers freak out at the idea of getting into this market.
What’s a regular buyer to do? Luckily, to buy a house, you only need two little things! If you’ve made up your mind to buy a house, the first thing you’ll need is 1) a full loan approval. Yes, you read that right. I urge you to get a full-blown approval, not just a pre-approval that any bank or Joe Schmo broker can generate.
It will take a little longer upfront to go through underwriting, but you’ll be rewarded with a smoother escrow and bypass many of the current delays. Also, with homes still flying off the market, it’s imperative that you’re prepared because the gems (great locations, looks, price) will sell within 7-14 days. More now than ever, an experienced lender is crucial. I can’t emphasize this enough.
Need a great lender referral?
My preferred lenders are nice, approachable, great at explaining and hand holding. They’ll go battle for you to get your loan through underwriting, so have a quick chat to determine the best fit.
Eddie Ajamian, NMLSR #342821, Franklin Loan Center, Pasadena
Office: 626-219-7192 | Cell: 626-826-5225
Jinhee Hann, NMLSR #450223, Wells Fargo, Los Angeles
Office: 213-688-3613 | Cell: 213-300-0618