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Image by Glenn Carstens-Peters
Writer's pictureMatt Elakatt

📈 Increasing rates are changing the residential real estate market


A situation we’ve run into a couple times this month is once a home seller has chosen the buyer they would like to move forward with, it turns out the buyer's pre-approval letter is no longer accurate. This is occurring because some buyers may have obtained their pre-approval letter before the interest rate increased in the last couple of months.


This situation can be frustrating for both sellers and buyers.


The buyer is disappointed he/she can no longer purchase the home they thought they could and/or they have to reevaluate their financing. If you’re thinking about buying a home, we recommend checking in with your loan officer if it’s been a few months since you’ve received a pre-approval letter. This will ensure you know what your budget is before looking at homes.


On the home seller’s end, it's also frustrating because this causes a delay in the sale of their home and now they have to go start the process again with a new buyer. Since there is still a shortage of homes for sale, sellers still have buyers showing interest.


If you or someone you know is looking to either buy or sell, call/text me at 847-530-0534 or email me by clicking the link below!



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