Low Inventory, High Competition: How to Make Your Mortgage Pre-Approval Stand Out

The Saskatchewan real estate market is facing a challenge: buyer demand is outpacing listings and new home construction. For buyers in Saskatoon, Regina and communities around the province, this means greater competition for every property that comes to market. In a seller’s market like this, having a mortgage pre-approval isn’t just helpful, it can be essential. That said, not all pre-approvals are created equal.
The Current Market in Saskatchewan
In the past, Saskatchewan saw a slower real estate market with some properties being listed for weeks or months at a time. Now, however, some properties are receiving multiple offers within days of being listed. The combination of limited new builds, recent interest rates changes and an increase in population are driving fierce competition, even in regions that are usually slower to sell.
Sellers now have the luxury of choosing their buyers and they may not always be looking at the highest offers. Buyers who appear lower risk and fully invested in the transaction may stand out even more than just their dollar offer. This is where a strategy involving a mortgage pre-approval could come in handy.
Beyond a Basic Pre-Approval
Many pre-approvals are little more than rate-holds, based on minimal information. A fully underwritten pre-approval, however, involves a complete review of financial documentation, giving a lender the full picture of the financial position of the applicants. When documents such as pay stubs, tax returns, employment letters, etc, are submitted upfront, lenders can provide a more robust pre-approval, leaving less risk for all parties involved. This can be helpful when negotiating an offer or navigating a multiple offer situation.
Have a Competitive Offer Strategy
Even a strong pre-approval can benefit from a strategic offer. Elements such as flexible closing dates, larger deposits and carefully considered conditions may make an initial offer more appealing. Having a knowledgeable and experienced team, including a local real estate agent and mortgage broker, ensures that offers remain attractive and financially responsible.
Be Ready to Act Quickly
In a market where multiple offers can be submitted within the first few days of a listing being available, being prepared is essential. Keeping a pre-approval up-to-date and having all necessary documentation available at all times allows for quicker action when the right property does become available. Any delays in getting a viable offer on the table could mean the difference between an accepted offer and missing out.
Even in a seller’s market, strategic preparation can create opportunity. With a strong pre-approval and experienced professionals guiding the process, buyers are better equipped to compete, and succeed, in today’s fast-moving Saskatchewan market.