The Boy Scouts’ motto is “Be Prepared” (taken from the initials of the founder, Baden Powell). This week’s blog is about being ready, being prepared, getting all the ducks lined up.
Guam’s real estate market has shown consistent upward mobility in both activity (number of properties sold) and value (prices of the properties) since 2015 after years of slum or slow growth. This is a good sign of an improving economy. For the buyer, it means we have a shrinking inventory of properties for sale.
So, how can you position yourself to win a home in this market? It means you need to start planning sooner rather than later. You want to Be Prepared.
Here are some tips:
- Visit a bank and be pre-qualified. A lender can teach so much about the ins-and-outs of mortgage loans and how to be financially prepared when you find the right house. A pre-qualification lets you know how much loan you can get now. If that amount is not going to get you the type of house you want, you’ll know you have to work on improving your income and savings.
- Start searching now – even if you’re not a “serious” buyer yet. Surfing real estate websites (like www.guamrealestate.deals) will help educate you on what’s available, where it’s available, the pricing. You’ll learn to know what you can get for the amount the bank has pre-qualified you.
- Start budgeting. Because the pre-qualified amount is not all that you’ll need. That is just what the bank will lend you. There are other costs involved – the loan application fee, home insurance, the new furniture and appliances you’ll want to buy.
- When you are ready, work with a REALTOR. A seasoned and experienced REALTOR can be of a lot of help in helping guide you through the process of defining your dreams and turning them into reality. Your REALTOR can help you position your offer to make it strong and outdo the competing buyers. Don’t be afraid to interview a few REALTORs to select the one that you trust to know the market, the loan process and has your best interest at heart.