A Seller’s market is one where there are more people buying houses than there are houses for sale. This means that sellers get advantages because there are more people trying to buy their properties. A seller’s market often means higher prices and stiff competition from other house hunters. However, this doesn’t always mean that it is impossible to find your dream home. In fact, a prepared buyer can get a great deal on a home, even in a seller’s market. Here are a few of our best tips for buyers:
#1- Work with a professional
When it comes to buying real estate, it is extremely important to have a good and efficient team. Hiring a trusted real estate agent in your area can help you find your dream home, even in the toughest of markets. A highly responsive and efficient agent can help you through every step of the home-buying process. From finding the right neighborhood for you, to negotiating the deal of your dream home, to connecting you with other related professionals. When it comes to navigating a seller’s market, working with a realtor can help you have a much smoother experience.
#2- Focus on your finances
If you are trying to buy a home in a seller’s market, you will have to act fast. Therefore, it is extremely important that you stay on top of your finances. It is also extremely important to get preapproved for a mortgage before you start looking for properties. Why? Your offer will have more credibility and you’ll be almost ready to go once the offer is approved.
#3- Know that the options are limited
When buying a home in this type of market, it is important to know that inventory might be limited. This does not mean that you wont find the home of your dreams, but you might have less options. Make a list of everything you would like to have in your new house, but prepare to adjust your expectations if necessary. You might have items in that list that are absolute necessities for you, but you’ll also find items that can be adjusted. For example, you could add a pool in the backyard later on, but you cannot change a home’s location. Prioritize what is most important to you, and be aware that in a seller’s market every home has a lot of competition, and you might not find another option that you like as much at that given time.
#4- Consider new construction
If moving right away is not a must for you, considering new construction might be a good option for you. New homes often have better pricing or availability. In addition, they often give you options when it comes to customization. You might have to wait some time before your home is move-in ready, but this might be a good option for you if you are in no rush.
#5- Stay alert and act fast
Keep a constant eye on new listings and act fast when you find one you’d like to see. Because new listings with your criteria might not come around in big numbers, make sure you see all your potential options. Furthermore, if you end up loving one of the houses you visit, make sure to act fast and get in an offer as soon as possible. Make sure to work closely with your realtor when you get to this step. Submitting an offer that is well bellow the asking price might not be such a good idea in a seller’s market. Make sure your offer is competitive, and talk to your agent about the best pricing strategy.