The predictions for the housing market in 2022 in Greater Dallas look a lot like they did in 2021, with a few twists. There will still be more buyers than homes available – at least for now. Real estate industry experts expect the for-sale inventory to increase in 2022. This past year saw buyers clamber to find homes only to slug it out in bidding wars. Not to mention, prices continued to skyrocket.
Average mortgage rates continued to stay historically low in 2021, but don’t expect that to remain the case in 2022. Economists are forecasting the rates will increase, but not significantly. The National Association of Realtors projects the 30-year fixed mortgage rate to rise to 3.7% in coming months.
So, if you are in the market to buy this year, what can you do to set yourself up for success? Here are some tips to get you started.
Determine Where and How You Want to Live
With your lifestyle and family needs in mind, come up with a list of priorities so you can fully vet the locations you are most interested in. Do you want an excellent school district? Will you be commuting to work, and if so, how far away? Do you want to live in a subdivision, or are you looking for more privacy? What types of activities will you be involved in? Do you want access to parks and recreation areas? Do you want to be able to walk to everything?
Get Your Credit in Order
Depending on the loan type, generally, the minimum credit score for buying a house is 620. But a higher score improves your chances of getting approved and getting a better interest rate. A good credit score signals to lenders that you are able to pay your monthly mortgage and your other bills. So, before heading to a lender, check your credit history report to make sure it’s where it needs to be. Checking it well in advance of buying a home gives you the opportunity to resolve any past credit problems.
Work with a Lender to Get Pre-qualified
Getting pre-qualified for a mortgage is a crucial first step in the homebuying process. It can save you time and headaches by giving you an idea of how much house you can afford, as well as discover any credit or financial snafus that could affect your approval. Additionally, it can give you an advantage over other buyers who haven’t gotten prequalified.
Ready to own your own home in the DFW area? First United Mortgage Group offers several loan program options to help you finance the home of your dreams. Let’s get you pre-qualified! Give us a call today at (972) 591-3097.
Comments are closed.