You might have heard the real estate market is hot and been discouraged by the news. As stressful as buying a home may seem, won’t a hot market make it even more intense? Houses getting offers at lightning speeds may make it more challenging to end up with your dream home, but it’s not impossible. Here are nine tips for buying a home in a seller’s market.
Work with a Savvy Realtor
An experienced real estate agent can offer sound advice, help you move quickly, and give you tips on how to make a compelling offer. Choose a Realtor who makes you feel comfortable and who is responsive to you. A high-performing agent may be the difference in landing the home you want or missing out.
Already being approved for your mortgage shows the sellers you’re serious about purchasing a home. A pre-approval may make you look better than other buyers. Contact a loan officer to find out your options (FHA programs, a VA loan, a traditional mortgage, etc.) and make it happen.
In a seller’s market, you’re not going to have the luxury of thinking things over for a day or two. Houses are getting multiple offers within minutes of hitting the market! Settle on the type of home you want and the budget you need, and if you find a house that meets that criteria, jump on it.
Don’t Lowball Your Offer
Coming in under the asking price is going to leave you high and dry. If you’re buying during a seller’s market, accept that you need to offer at least asking price to make sure you’re even in the game.
Pony Up the Earnest Money
If you can afford it, offer a larger amount of earnest money than normal. A few thousand more dollars will show the sellers you’re serious about their property.
Leave Off the Contingencies
Chances are good the other folks making offers on this house won’t be asking for a long list of repairs and updates. You shouldn’t either. Contingencies irritate sellers, and offers that don’t include them will be more attractive.
Add a Personal Note
Include a note along with your offer explaining why you want to live in their house. Be authentic and let the seller see into your life and family. If offers are equal, sellers will choose the one they feel most connected with.
Be Ready to Move On
A seller’s market is no time to fall in love with just one property, because you may very well get your heart broken. Stay optimistic and hopeful, but keep your head in the game. If you miss out on a house, there’s bound to be another one better suited to you.
Call MIG to discuss your mortgage options and get pre-approved for you next mortgage. We’re here to do everything we can to make sure you get a seat at the closing table for your dream home.