As we all know, the housing market has been a seller’s dream for the past year. A depleted housing inventory, along with record-low interest rates, has caused countless bidding wars, driving prices on nearly every property higher than ever anticipated. Conversely, this has made life for the buyer incredibly difficult. But if you are a potential buyer, simply because the market is ultra-competitive doesn’t mean you should give up. Don’t let this strong seller’s market cripple you on your quest to secure the perfect home for you and your family. If you want to triumph in this hostile market, you need to set yourself apart from the competition. How does one do that? Do your due diligence, be ready, and most importantly, partner with the right agent.
Partner with the Right Agent
If you want to be serious about diving into the real estate market to snatch a home away from the hordes of bidders every ‘For Sale’ sign attracts, then there are numerous steps you can take to give yourself an edge. One can point to the importance of getting your finances in order, obtaining a pre-approval on a home loan, and determining how much of a down payment. And those are necessities to take care of, but more important is partnering with the right agent.
The reality is, not all agents are created equal. Any agent should be able to guide you through the routine tasks of buying a home - recommending potential lending partners, helping you determine what exactly you are looking for in a home, and what area would serve you best. But the right agent will be able to go above and beyond those expectations. The right agent will have a wealth of experience in the industry while also being an expert in your shopping area. They will have relationships in the industry that may gain you access to a listing before it hits the market or knows creative ways to negotiate that will help your offer stand out. When choosing what agent you partner with, you want to feel comfortable with them and ensure that they have your best interest in mind, and here coming along on this journey to get you in the home of your dreams.
Quick On The Draw
Once you have chosen what agent will represent you on your path to becoming a homeowner, be prepared to act quickly. There is no time to waste in today’s market as you find homes that match your criteria and put down offers. Speedy resolutions to a seller’s requirements are a sure-fire way to make the completion of a sale that much more of a reality. Contingencies may need to be tossed out, closing costs may differ from what you expected, escrow may need to close faster than you had anticipated, but rest assured that the right agent will be able to comfortably and transparently guide you through this process. In the market we are experiencing today, it is vital to remember that time is of the essence.
Likeability Goes A Long Way
Sellers do not want a long and arduous process when closing a deal on their house. In this tough market, a buyer should go out of their way to make it clear that they will make life easier for the seller by all means possible. Your agent should find out what’s essential to the seller so the two of you can put together the best offer for you that will also be attractive to them. Additionally, remember that we are all humans with emotions at the end of the day. So, if you feel it might be beneficial to write a letter to the seller telling them your story, why you love their home, and what it would mean to you if you were able to purchase it, then write it up. Sometimes a little old-fashioned personal touch can sway a particular seller in your favor, making their decision easier.
Start Strong
Since the competition is so stiff, you’ll want to come up with an offer that outshines the flurry of all the other incoming bids. As was touched on above, by working closely with your agent, you can strategize a plan of attack that will put you ahead of the buying competition. You might approach the seller with an offer over asking, let the seller come up with the closing date, offer a larger down payment, or limit any requirements you might request before the sale ends. Eliminating contingencies such as an appraisal, home inspection, or insurance might nudge the seller in the right direction but be wary that such actions are not always advisable. Just know that if you are serious and put forward the best possible offer, the seller will regard you highly.
Being a buyer in today’s market can be intimidating. Take a deep breath and realize your bid to obtain your dream home might come with a few bumps in the road, but that doesn’t mean you should give up. By finding the right agent, having done your homework, and being ready to act quickly, it will only be a matter of time until you lock in the property you so desire. And remember, if your first offer isn’t accepted, don’t get discouraged. You have to be in the game if you want to play. You and your wisely chosen agent will help you persevere in the long run.