Tips for Buying a Home in a Tight Real Estate Market
- Get prequalified for a mortgage. You’ll be able to make a firm commitment to buy and your offer will be more desirable to the seller. Offer at least 3% as the good faith deposit showing you are serious as well as make sure to submit proof of funds and anything else the listing agent requires.
- Review all email alerts that are sent to you. It may be inconvenient but you must be ready to see a house as soon as it goes on the market — if it’s a great home, it will go fast.
- Keep your eyes open when you are out as well as tell friends to keep a look out. Look at all the major web sites and drive through the neighborhoods you are interested in to look for For Sale signs. If you see a home you like, write down the address and let your agent know so he can schedule an appointment for you if it fits your search criteria.
- Be ready to make a decision. Make sure you know in advance what you must have in a home so you won’t be unsure when you have the chance to make an offer.
- Bid competitively. No low ball offers of course. You can bid competitively and have your agent speak to the listing agent ahead of time to find out what’s most important for the seller because it’s not always the sales price terms can be important too. The more you know about the seller’s motivation and terms the better prepared you will be to craft the offer most likely to get accepted.
- Less contingencies the better. Restrictions such as needing to sell your home before you move or wanting to delay the closing until a certain date can make your offer unappealing. Remember you may have to be a bit inconvenienced to get the home of your dream but remember it’s only temporary.
- Don’t overbid your budget. Offer what you are able to afford without becoming house poor. No home is worth the stress that will bring. And remember to protect yourself by not removing your appraisal or inspection contingencies, as it’s not worth the risk.
If you have any questions or want to make sure you get the best home at the best price contact me today.
949 599 6860