>> WELCOME BACK TO CHEDDAR NEWS
THIS FINANCIAL FITNESS SEGMENT
IS SPONSORED BY LENDINGTREE
SHOP AND COMPARE LOANS CREDIT
CARDS INSURANCE AND MORE THE
HOUSING MARKET IS SO
RIGHT NOW THE MANY BUYERS ARE
FINDING THEMSELVES IN INTENSE
BIDDING WARS JOINING US TO
DISCUSS IS JACOB CHANNEL SENIOR
ECONOMIC ANALYST
AT LENDINGTREE JACOB CAN YOU
JUST GIVE US A SNAPSHOT OF THE
CURRENT MARKET IN SOME OF THE
BIGGEST CHALLENGES, THE BUYERS
ARE FACING.
>> THANKS FOR HAVING ME.
BUT YEAH. SO RIGHT NOW THE
HOUSING MARKET IS STILL PRETTY
DARNED HOT. IT'S
COOLING OFF A LITTLE BIT AND
THERE ARE RECENT NEW AND
EXISTING CONSOLE THAT SUGGEST
THAT THE HOUSING MARKET IS
COOLING THAT A LITTLE BIT LESS
PEOPLE ARE BUYING HOUSES THAT
BEING SAID THE MARKET IS STILL
REALLY HIGH ALL RIGHT NOW AND
AS A RESULT, SOME OF THE
BIGGEST CHALLENGES PEOPLE ARE
FACING ARE THINGS LIKE REALLY
EXPENSIVE HOME PRICES LIKE YOU
MENTIONED EARLIER GETTING THE
BIDDING WARS. SO WELL HOUSING
MARKET IS MAYBE NOT AS HOT AS
IT WAS A FEW MONTHS AGO
THANKFULLY IT SO IT'S PRETTY
DARK.
>> JAKE A WINDOW LENDINGTREE
RECENTLY RANKED THE 50 LARGEST
METROS WITH THE MOST COME
TENTATIVE HOMEBUYERS WHAT WERE
SOME OF THE FINDINGS WITH THAT.
>> SO THE MAIN THING THAT WE
FOUND WAS THAT THE
METROPOLITAN AREAS WHERE THE
LARGEST SHARE OF PEOPLE WHO
HAVE CREDIT SCORES OF 720 OR
HIGHER WHO PUT DOWN THE LARGEST
DOWN PAYMENTS ON THE HOUSE AS A
PERCENT OF THE TOTAL
HOME PRICE. AND ONE OF THE MOST
PEOPLE SHOPPED AROUND FOR HOME
BEFORE BUYING TENDED TO BE THE
MOST COMPETITIVE AREAS
GEOGRAPHICALLY THAT MEANS THAT
EXPENSIVE METROS LIKE SAN JOSE
OR SAN FRANCISCO. WE'RE
MORE COMPETITIVE AND LESS
EXPENSIVE AREAS LIKE MEMPHIS
RED LIGHT TO GEORGIA.
>> I THINK FOR THE MOST PART
MOST PEOPLE KNOW HOW IMPORTANT
IT IS TO GET PREAPPROVED FOR
MORTGAGES. BUT WHAT MAKES THIS
THAT MUCH MORE WE'RE
IN NOW ONE REALLY FACING THIS
KIND OF FIERCE COMPETITION.
>> CERTAINLY YEAH SO THE 2 MAIN
THINGS ARE GETTING
PREPARED FOR WHICH HAS OUR
FIRST IT LETS YOU THE BUYER
KNOW EXACTLY WHAT YOU CAN
AFFORD TO NOT GOING TO WASTE
YOUR TIME GOING TO HOUSES THAT
ARE
TOO EXPENSIVE AND SECOND IT
SIGNALS TO BUYERS THAT YOU'LL
BE ABLE TO MOVE THROUGH THE
CLOSING PROCESS THAT MUCH MORE
QUICKLY. THE LAST THING THAT
BUYERS WANT IS TO GET A REALLY
GREAT AND FIND SOMEONE THEY
REALLY WANT TO SELL THEIR HOUSE
TOO. AND THEN GET NOTIFIED THAT
WELL THIS PERSON HASN'T BEEN
APPROVED FOR A LOAN SO WHO
KNOWS HOW LONG IT WILL BE
BEFORE THEY CAN ACTUALLY GET
DOWN AND ACTUALLY BUY YOUR
HOUSE.
>> WE KNOW THE CREDIT DATA
REALLY ARE CRACKING DOWN ALSO
ON LONG, IT'S REALLY NOT ENOUGH
TO HAVE JUST A GREAT CREDIT
SCORE TEAM OR A DOWN PAYMENT.
A GOOD
DO YOU HAVE ANY TIPS ON HOW TO
BECOME MORE COMPETITIVE AS THE
HOME BUYER.
>> WELL THANKFULLY HAVING A
GOOD CREDIT SCORE AND BEING
ABLE TO PUT DOWN A LARGE DOWN
PAYMENT ARE STILL VERY
IMPORTANT. SO IF YOU'VE GOT
THOSE 2 THINGS GOING FOR YOU
THAN YOU PROBABLY IN BETTER
SHAPE THAN SOME OF
THE GUYS. THE OTHER THING THAT
PEOPLE MIGHT NOT REALIZE IS
THAT SHOPPING AROUND FOR A LOAN
BEFORE YOU GO BY HOUSE,
YOU CAN ACTUALLY BE REALLY
HELPFUL EVEN IF YOU'RE FROM
A NATIONAL PROFILE IS EXACTLY
THE SAME DIFFERENT LENDERS HAVE
DIFFERENT CRITERIA SO THEY
MIGHT BE MORE OR LESS WILLING
TO WORK WITH YOU OR TO OFFER
YOU HIRE A
LOWER RATE SO BY SHOPPING
AROUND BEFORE YOU BUY NOT ONLY
INCREASE YOUR CHANCES OF
FINDING A BETTER RATE WHICH CAN
MAKE IT A LITTLE BIT EASIER FOR
YOU TO AFFORD AN EXPENSIVE
PROPERTY. YOU ALSO MIGHT JUST
BE ABLE TO FIND A LEADER WHO'S
WILLING TO WORK WITH YOU.
>> LAST THING BEFORE WE LET YOU
GO DO YOU HAVE ANY ADVICE FOR
BUYERS WHO CAN'T SEEM TO WIN A
BIDDING WAR WE'VE SEEN PEOPLE
DO YOU FEEL GOOD NEWS 10 HOMES
ESSENTIALLY PEOPLE JUST CAN'T
EVEN FIND A HOME.
>> YES SO I THINK I'VE GOT 3
BIG PIECES OF ADVICE OF THE
FOOD, ONE IS MAYBE A LITTLE BIT
LESS THAN IDEAL. BUT IT
DOES HELP IF YOU CAN LOOK
FOR HOMES A LITTLE BIT LESS
EXPENSIVE THAN WHERE YOU'RE
CURRENTLY LOOKING. I SAID IT'S
NOT NECESSARILY DEAL BECAUSE
WHEN YOU DO IT FOR LESS
EXPENSIVE HOMES. YOU OFTEN HAVE
TO SACRIFICE OR AMENITIES THAT
YOU MIGHT HAVE REALLY BEEN
HOPING FOR DO KEEP IN MIND THAT
IN ESSENCE YOU'RE MAKING
YOURSELF LOOK BIGGER FISH IN A
SMALLER POND, WHEN YOU START
LOOKING AT LESS EXPENSIVE HOME.
OUTSIDE OF THAT IF YOU'RE IN A
POSITION WHERE YOU'RE ALLOWED
TO WORK REMOTELY FOREVER IF
YOUR CLERKS COME TO YOU
AND SAID, YOU KNOW DON'T WORRY
ABOUT COME BACK THE OFFICE FOR
JUST GOING TO YOU CAN CONSIDER
MOVING TO A SMALLER TOWN.
A SMALLER CITY THAT HAS A LESS
EXPENSIVE BILLS. THE MARKET NOW
IF YOU DO THAT DO MAKE SURE
THAT YOU KNOW FOR SURE
THAT YOU CAN WORK FROM HOME
BECAUSE LAST THING YOU WANT TO
DO IS MOVE SOMEWHERE BY
BEAUTIFUL HOUSE AND GET A COUGH
OR YOUR
HEY, I KNOW YOU 300 MILES AWAY
BUT BE A GUEST AT 08:00AM
TOMORROW YOU'RE GOING TO FIND
YOURSELF IN
A JOB AND THEN THERE OFTEN IS
ONE THAT'S PROBABLY THE EASIEST
THAT MAYBE PEOPLE DON'T
CONSIDER IS THE CHARMING SO
THOSE ARE HUMANS AND THEY LIKE
TO WORK WITH PEOPLE WHO
THEY ARE LIKE SO IF YOU'RE
CHARMING IF YOU CAN BUILD A
GOOD RELATIONSHIP NOT ONLY WITH
YOUR REALTOR BUT WITH YOUR
CELLAR YOU CAN INCREASE YOUR
ODDS OF BEING THE PERSON THAT
THEY
CHOOSE TO TO FOR EXAMPLE, MY
SISTERS LOOKING FOR A HOUSE
RIGHT NOW SHE JUST HAD A
WONDERFUL LITTLE BABY BOY AND
YOU ABOUT THAT FIRST THING THAT
SHE DOES WHEN SHE NEEDS TO BE
REAL FOR NEW OR A
POTENTIAL SELLER IS SAYING, HEY
LOOK AT THIS ADORABLE LITTLE
CHILD HAVE HE AND I WOULD LOVE
TO LIVE IN THIS HOUSE THAT YOU
LOVED AND LIVED IN FOR SO LONG
AND WE'D LIKE TO CONTINUE THAT
TRADITION.
>> WOW SOME GREAT ADVICE THERE
NIGHT, YOU KNOW WE SAW OUR LAST
PROPERTY AS WELL
I HAD THE SAME EXPERIENCE WE
DIDN'T SELL TO THE HIGHEST
BIDDER. WE SOLD TO SOMEONE THAT
REALLY WANT THE THAT WE
COULDN'T
LIVING THERE. AND WE WE KIND OF
GAVE IT TO THEM WE DID MAKE A
GOOD PROFIT. BUT WE GAVE IT TO
THEM. SO THANK YOU SO MUCH FOR
THAT INSIGHT.
IT IS SOMETHING I CAN REALLY 10
FOR MANY PEOPLE CAN JACOB
CHANNEL SENIOR ECONOMIC ANALYST