Homebuying is no simple feat. It can be time-consuming, expensive and confusing, so it’s no wonder people want to cut corners. But those cuts can be costly, especially when mortgage shopping.

Our latest survey found that the majority of buyers don't shop around for a mortgage and many are leaving money on the table because of that. Here’s what else we found. 

• Over half (54%) of those who took out a mortgage for their most recent home purchase only got one loan offer. Meanwhile, 22% got two offers and 17% got three or more. 
• Among those who compared more than one mortgage offer, 45% say the lowest offer didn’t come from their first lender.
• Refinancers are more savvy with comparison shopping. Of the 45% of homebuyers who refinanced, 56% shopped around. Comparison shopping paid off, as 81% found a lower rate than their current lender offered.
• Over a third (35%) of buyers say they purchased a home earlier than planned to take advantage of low rates. 

You can check out our full report here: https://www.lendingtree.com/home/mortgage/shopping-around-survey/

LendingTree's Senior Economist and report author, Jacob Channel, had this to say:

"The exact amount that a borrower can save by shopping around for a mortgage will vary based on factors such as the rates they’re offered and the size of their loan. That said, it’s not out of the realm of possibility for someone who received multiple offers and then picked the one with the lowest rate to save hundreds of dollars a month, thousands of dollars a year and tens, if not hundreds, of thousands of dollars over the lifetime of their loan."

Prices keep rising because this spring’s inventory is lower than usual. The sliver of good news for buyers is that mortgage rates have declined slightly

The median U.S. home-sale price hit a record $387,600 during the four weeks ending May 19, up 4% from a year earlier. That’s according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. Weekly average mortgage rates dipped to 7.02% from a five-month high of 7.22% at the start of the month, bringing the median monthly housing payment to $2,854, roughly $20 shy of April’s all-time high.

High housing costs pushed pending home sales down 4.2% year over year, the biggest decline in three months (except the prior 4-week period, when sales declined 4.4%). Prices keep rising despite declining sales because there aren’t enough homes on the market: New listings are up about 8% year over year, but inventory remains lower than typical spring levels. Many homeowners are staying put because they would rather hold onto their relatively low mortgage rate than move up to a bigger and/or better home.

“Move-up buyers feel stuck because they’re ready for their next house, but it just doesn’t make financial sense to sell with current interest rates so high,” said Sam Brinton, a Redfin Premier agent in Salt Lake City, UT. “The homeowners listing right now are often doing so because they need to: One of my clients is selling because of a family emergency, and another couple is selling because they had a baby and simply don’t have enough room. Buyers should take note that many of today’s sellers are motivated; if a home doesn’t have other offers on the table, offer under asking price and/or ask for concessions because many sellers are willing to negotiate.”

For Redfin economists’ takes on the housing market, including more on how current financial events are impacting mortgage rates, please visit Redfin’s “From Our Economists” page.

Leading indicators

Key housing-market data

To view the full report, including charts, please visit:
https://www.redfin.com/news/housing-market-update-pending-sales-fall-prices-increase

During a very painful time in my life, I was in a very bad place. A close friend of mine convinced me to go to a convention in San Fransico. I really didn’t want to go. I struggled with everything that was going on, but I made the trip. I firmly believe that that trip may have saved my life. At the very least, it changed it forever.

One of the speakers there was a man named Les Brown. I knew of Les but had never heard him speak in person. Believe me, being in the right place at the right time, listening to the right person deliver the right message, well, it can be transformative. I waited until after his talk was done. I gathered up the books he had for sale and waited until the very last person was gone when I asked him to sign the books and share with him my journey to this event, and how much I needed to hear his words and that he had made a difference in what would become the rest of my life! He listened, we both cried, we hugged, and he reminded me that “if you can look up, you can get up!” and as long as you keep moving forward it doesn’t matter how many times you get pushed back, the game isn’t over until you win!

I shared this because I had a few of my clients share stories this week about people they worked with that were long timers. You know, those clients you work with for months, maybe even years, and just when you thought it would never happen, they find a house, it goes into contract, everything goes as it should, and they closed on the home most people would never believe would ever get, but they did. They did because they kept going forward. They did because they had someone at their side, every step of the way, that supported the effort and remained committed to the outcome. People can’t all be the same. Each journey takes the time it takes. However, there are certain journeys that would never have been completed if there wasn’t someone who supported the vision and helped keep them in focus.

My clients know that some deals come together in days. Others take longer. The ones that take the longest may certainly not be the most profitable, but they very well might be the ones you are most satisfied with. I had Les Brown to believe in me. My clients have me to believe in them. Who are the ones you believe in? Just like I remember Les all these years later; just like I hope my clients will remember me; who will you believe in that will remember you? Teach and share the vision of persistence. Show those around you that it doesn’t matter how long it may take, once you reach the goal it never matters how long it took to get there!

The game isn’t over until you win!

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