Have you noticed that homes are selling as quickly as they are being put up on the market and that they are selling for over the asking price? This is what is known as a seller's market, and it doesn't bode well for buyers. In order for a home buyer to be successful in this type of market, there are a few things that you need to do, including the following:
1. Make Sure That You Are Always Available.
When it comes to purchasing a home in a seller's market, it is imperative that you make yourself available. You need to look at house hunting like you are looking for a job. You wouldn't only look for a job once a week if you were in dire need of employment, so you shouldn't only set aside a couple of days a week to search for a home. Instead, house hunting needs to be a priority. You need to keep a close eye on listings and stay in close touch with a realtor. If you are able to schedule a showing, it should be scheduled based on the seller's convenience rather than your own, and then you should follow up with them as promptly as possible if you like the house.
2. Have Paperwork Available to Demonstrate Your Financial Strength.
In a seller's market, your word regarding your financial strength is not going to mean much at all. Therefore, you need to be able to show a seller that you have a down payment and the financial backing of a lender. In other words, you need a pre-approval letter from a lender and possibly even a form from your bank that shows that you have the funds available for the down payment. This demonstrates to the seller that you are serious and committed to completing the purchase of their home.
3. Do Not Try to Play Hardball.
While hardball will usually work in your favor in a buyer's market, it is quite the opposite in a seller's market. There is no room for negotiation here. If you don't offer the seller's asking price or, oftentimes, more than the asking price, then your offer will simply be overlooked or thrown out immediately. You need to make sure that your initial offer is aggressive, yet one that you are comfortable with. After all, you need to make sure that those monthly mortgage payments can be made after you move in.
To make sure that you have the upper hand in a seller's market, it is always a good idea to go through the house hunting and buying process with an experienced realtor like RE/MAX PLATINUM : Gail Schoeneberg by your side.