Four signs a homebuyer is ready to purchase

You have prospects expressing an interest in purchasing
your home, but how do you know if they’re really serious –
or able – to buy?

A large multiple listing service asked its real estate
member network for some of the best signs for
understanding whether potential buyers are really ready
for the task of the taking on home ownership. Here are
some indicators members noted about willing, able and
ready homebuyers:

• They avoid making other major purchases: Big-ticket
  purchases, like a car, are put off until after they buy a
  home. Potential buyers should be working to keep their
  cash reserves high and prove to lenders they can take on
  mortgage debt.
• They are increasing their savings: Homebuyers save
  enough money for six months of mortgage payments and at
  least a 3.5 percent of the purchase price for a down
  payment and closing costs. Buyers shouldn’t forget about
  moving and possible home repair costs too in setting up a
  savings plan for a home purchase.
• They have their credit in shape: Homebuyers should
  know their FICO score and know how it can impact the
  mortgage rate they get. Borrowers with credit scores of at
  least 700 tend to get the best mortgage rates.
• They know what they can afford: Homebuyers should get
  pre-qualified for a mortgage so they know how much they
  can afford, what types of loans they can qualify for, and
  set a comfortable monthly mortgage payment goal.