Navigating a HOT Housing Market

You wake up one morning and there it is, the house that checks every box on your list has just hit the market. Naturally, you move fast to secure a showing, only to find this home is already under contract. Or maybe you pop into an open house on a Sunday afternoon, and find yourself surrounded by 20 other couples who are ALSO seriously interested and ready to submit offers. Does any of this sound familiar to you? If your answer is a nod and sigh, there’s a good chance you’ve been a buyer in a sellers market. So, how do buyers navigate this fast-paced market without losing their minds? Let’s go over 4 tips to help you beat out the competition while maintaining your sanity.

HIRE AN AGENT

You CANNOT rely on search sites like Zillow and Trulia. They are SLOW to show new listings, and in a market where homes are selling within hours these delayed updates won’t do you any good. When a property is listed it will hit the the multiple listing service (MLS) in a matter of minutes. Your real estate agent has access to the MLS and can add you to an email list so you are notified AS SOON as these homes are listed. And don’t just hire any agent, hire an agent with local expertise that knows how to move fast. To summarize, WORK WITH A LOU REALTY GROUP AGENT.

GET YOUR FINANCES IN ORDER

Unless you’re sitting on a mountain of cash,  you will need to be able to show the seller that you are able to obtain financing. Get pre-approved in advance. That way when you do find the home of your dreams you’re able to put in an offer immediately.

BE PREPARED TO MAKE AN AGRESSIVE OFFER

We are currently watching homes hit the market and receive up to 15 offers in just the first day. Some buyers are even willing to offer thousands of dollars above the list price. If you want a seller to notice your offer in a pool of 10 others, you need to be prepared to put your best foot forward. In multiple offer situations, an escalation clause may be considered. An escalation clause allows a buyer to offer X price for the home, but if the sellers receives an offer that’s higher, you will top that offer by Y amount. Talk with your agent, be realistic, and don’t be tempted to go beyond what you are comfortable paying!

WRITE A LETTER

We have been seeing more and more of this recently in multiple offer situations. A buyer will include a letter explaining why this is the perfect home for them, how they plan to grow there, and how they will carry on the homes legacy. Present a strong offer WITH a human connection and you may just find yourself ahead of the rest. **Do your homework first. This works best with a family home. New construction, investors, etc…don’t waste your time.

Last but not least, don’t get discouraged if your offer isn’t accepted. Stay positive. Stay confident. What is meant for you will not pass you by.

HAPPY HUNTING, BUYERS!