Think you're ready to buy a home? You may be surprised at how different things are in the current real estate market. With the conditions currently favoring the seller, you need to change up your home buying strategies if you want to successfully have an offer accepted on a home.
Be Prepared To Act Quickly
The housing market is moving at an incredibly fast pace, especially if a home is priced right and recently listed. Buyers are practically pouncing on houses immediately by scheduling showings and making offers as soon as possible. Know that you are not going to be able to wait if you see a home you like. Be prepared to schedule a showing as soon as possible with your realtor, and have all your documents prepared to make an offer that same day. If not, you could end up losing out on a home because you slept on it for too long.
Consider Making Concessions
When market conditions favor the buyer, the seller is typically the one that is asked to make concessions to close on the sale of the home. It could be to help pay for closing costs, make repairs, or ask for a credit to pay for repairs. The tables are reversed right now with so many buyers trying to make offers on the limited inventory of homes. You'll be expected to make concessions to make your offer more appealing.
For example, you may have to supply more earnest money to the seller to prove that you are seriously invested in the home. Consider offering a bigger down payment as well to show that your financials are strong.
Know That Things Can Take Longer To Close
If you are trying to time out the closing date for a home purchase, be aware that things are moving a bit slower these days with the current pandemic still going on. It can take longer to secure financing with lenders taking more caution to know that their borrowers are going to be able to pay back their loan. It can even take more time to schedule in-person visits to the property for things such as the inspection and appraisal. This can all lead to the closing date being pushed further out than intended. Make sure that you plan for this so that you are not in a situation where you are in-between homes.
To get help as a home buyer, contact a local real estate agent.