Get a Head Start on the Spring Market

Prepare Now To Buy A Home Later This Year

Did you know that more buyers are out and about buying homes during the Spring than any other season of the year? The Spring market in Louisville typically starts as early as March and peaks around Derby. If you (or someone you know) is thinking about buying, there are properties coming on the market everyday, even now. Be ready and you could be the “early bird who gets the home!”

Here’s how to get started:

Get Your Finances and Budget In Order

• Completely analyze your finances and collect any necessary documents.  Your lender will need to look over your W2′s or 1099′s, bank statements, proof of current income, copies of tax returns, and investment account statements.
• Don’t do anything now that could damage your credit score. Postpone making any big purchases like a car and don’t rack up any credit card debt. In fact, if you have credit card debt, now is a good time to start paying it down!
• Make sure you are saving money, so you have enough for a down payment, closing costs, and other expenses that come with buying a home and moving. Plan ahead for potential maintenance or repair costs, condo or HOA fees, and new furniture or décor to fit your new home. Don’t forget to budget for moving expenses too.
• Go through your budget to determine what you can pay (and feel comfortable paying) per month in mortgage costs. Focus more on your monthly budget and desired payments and less on the purchase price for right now.

Unless You’re Paying Cash, Get Pre-Approved for a Loan

You need to get pre-approved for a loan BEFORE you get too far into looking at properties.

Sellers like to work with buyers who are already pre-approved for a loan. It means you’re a serious buyer and are able to make a purchase. Plus, the Kentucky sales contract requires the contact information of your lender.

Once you’re pre-approved for a loan by a lender, you will know:

• how much house you can afford,
• what your down payment requirements are (you don’t necessarily have to put 20% down), and
• your monthly mortgage payment estimates and expected closing costs.

To get this done, meet with a mortgage lender who can get you up to speed on different loan products and their requirements (such as credit score and down payment), and also give you an overview of current interest rates and their future outlook. I can suggest several lenders if you need recommendations.

The better your financial picture, the better the rate and loan can be — it’s that simple. However, most people are approved for more than they want to spend every month, so be sure to understand the correlation between your price point and your monthly payment. 

Tell your lender that you want to determine what price range to be looking in based on the monthly payments you feel comfortable making.

Explore and Window Shop

Before buying a home, you have to be 100% clear about your wants and needs. Take these steps to help you learn what you like and don’t like so you’re ready when it’s time for serious house hunting and the rush of putting in an offer:

1. Think hard about your day-to-day life and what you want and need in your home. It helps to make a list of your must-haves (i.e., first-floor primary suite or walk-out basement) and your deal breakers (i.e., outdated kitchen or no garage).
2. Get to know the neighborhoods where you want to live. Go there for your normal activities such as coffee with friends or grocery shopping. Decide if it’s close enough to the things you go to routinely (work, daycare, school, recreation). Is it near your friends and family? I can introduce you to other neighborhoods around Louisville if you’re open to options.
3. Starting casually visiting open houses to get a sense of pricing for the space, location, and common features of homes. Think of this as window shopping. This experiment will help educate you about the local market and how you much of your “wants and needs” are realistic within your budget. View homes for sale also online to further get a sense of what you like and don’t like, locations, and what’s in your budget. I can send you links of MLS listings when I know what you’re looking for and where.

It’s the Final Countdown

Before you get swept up into the house hunting process, it’s time to stop and ask yourself some serious questions.

You should understand your wants, needs, and budget at this point but it’s good to go through some self-reflection to make sure if moving forward on a home is right for you at this time.

Are you ready to upsize, downsize, or purchase your first home? Do you plan to be there for at least five years? Is your job stable and income consistent? Do you anticipate any major life changes that may affect where you live?

It doesn’t hurt to put some feelers out and then realize that you might need to wait another year or so before you are comfortable or ready to make a change. It’s not only okay to have your own timetable, it’s a must!

When You’re Ready!

If you know you want to buy a home this year, I’m here to help you get started before other buyers are out there making offers on the homes you want.  Reach out so we can start planning.  Especially if you need to also sell a home, it’s important we time everything perfectly so you don’t end up with two homes or no homes.

 It’s never too early to start the planning process, and I’m ready when you are.   Email me or give call me at to get started.   

Let’s do this!