If you’re in the market for a new home, you may have noticed that the odds aren’t exactly in your favor when it comes to securing your new dwelling.
That’s because we are in a seller’s market.
According to Redfin, that “occurs when demand exceeds supply, or there are more buyers seeking to purchase homes than there are available homes on the market.” Many times, multiple buyers are interested in one home, and bidding wars ensue.
Sellers often have the advantage in this market, but just because they have the upper hand doesn’t make it impossible to buy a house.
HousingWire has several tips you can use to purchase your new abode when the market isn’t on your side. Here are three of them.
Getting pre-approval is a must
In this environment, there’s no other way to do it: you need to secure a mortgage pre-approval. First Bank Mortgage reported doing this will put you ahead of other buyers — especially when it’s likely that more than one will want the same house as you. If you have pre-approval, it’s more likely that the seller will choose you.
Enlist an experienced agent
Having an agent with years of knowledge under their belt will be favorable in a seller’s market. The Balance noted that experienced agents have a rapport with other agents, which can speed up the selling process. Also, they can effectively pinpoint or predict trends. Plus, they’re familiar with the delicate dance of negotiating a price — that will come in handy in a seller’s market.
Do everything you can to impress sellers
To leave your mark on sellers, HousingWire suggests pulling out all the stops. That includes an offer letter and personally appealing to sellers — maybe put a photo in there, too.
“In a strong market a buyer needs to consider waiving the financing contingency, limiting inspection to three to five days, and placing larger earnest money deposits to provide non-price consideration,” Bruce Ailion, a metro Atlanta real estate agent with more than 30 years of experience, told MortgageLoan.com.
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