LendingTree just released their list of the 50 most competitive metro areas in U.S. cities to buy a home in. The online lending marketplace based their list on a buyer’s credit score, downpayment, and how much a buyer shopped around for a mortgage. San Jose and San Francisco took the number one and two spots but the real surprise was who came in at number three! Any guesses? That’s right, Raleigh!
Raleigh was the third most competitive metro area for homebuyers. With the average home sale price of $340,000, LendingTree found that 70.48% of buyers in Raleigh had a credit score of 720 or higher and the average down payment was 21.15%.
I would probably say the biggest surprise for me was Raleigh at number three,” said LendingTree’s Chief Economist Tendayi Kapfidze. “Typically, where we find the most competitive cities tend to be areas with higher home prices and less affordability, but Raleigh is a very affordable midsize area.”
The least competitive homebuyers in the country were found in Virginia Beach, Riverside, and Atlanta. You can check out the full list at Finance.Yahoo.com.
Top Three Things to Know About the Market Right Now
In my teammate Ryan Boone’s latest blog post, he covers the top three things you need to know about the market right now including high due diligence, over asking price, and high earnest money. With low inventory, buyers are paying more due diligence and most homes are going over the asking price. It is even more important now to get your finances lined up before you start looking for your new home. Earnest money is typically around 1% to 3% of the sale price, however, we are seeing these percentages go up, so if you are serious, this number may be higher.
What Does This Mean for You?
If you are looking to buy a home in Raleigh, the odds of getting in a bidding war right now are very high. You need to make sure that you are pre-approved for a mortgage to be competitive and you need to have a knowledgeable real estate agent working for you now more than ever. I can guide you through all the necessary steps in looking for and buying a home that is just right for you. I will be with you every step of the way and help you make an offer that is competitive but is an offer that you are comfortable with. Give me a call anytime at 919-961-3277 or email me at Annie@HudsonResidential.com!