Trying to buy a home in a hot seller's market can be stressful and heartbreaking. Historically low interest rates, limited inventory of homes available for sale, and people moving out of metropolitan centers as work-from-home becomes more common are driving prices sky-high!
Here are some tips that have helped my clients and I win recently.
- Be organized! It sounds obvious but I cannot stress how important this is right now. Homes are selling either pending sale within hours of being listed, or they have an "offer review date" a few days after being listed, which almost always guarantees multiple offers will be submitted. Be organized with a recent Pre-Approval letter, or by having an Evidence of Funds letter if you're buying the home with cash.
- Know your budget! If you're pre-approved to a set dollar amount, now is NOT the time to start shopping for homes above your budget. You're just setting yourself up for disappointment as most homes are selling at or above the asking price right now. If anything, shop about $50,000 below your maximum budget, and expect that multiple offers will drive the price past the list price.
- Submit a clean offer! Assume you'll be competing against other buyers, so try to keep your offer simple and easy to accept. It's a great idea to consider paying to have the home inspected BEFORE you submit your offer, giving you the peace of mind of knowing if there are issues with the house, and showing the seller you're not going to ask for repairs.
- Sell your story! Buying or selling a home can be an emotional experience. Not all sellers will be swayed by a letter (and not all listing agents will recommend their clients accept letters) but it doesn't hurt to try and explain in writing why you're so interested in buying this home. Tug their heartstrings. :)
My final tip is work with a Realtor (like myself!) who will go the extra mile to find your dream home and write a winning offer!Posted by Gabrielle Balolia on