How to Successfully Buy the Home of Your Dreams in Today’s Market
Despite prices being lower than they have been in several years (or more), our region is definitely in the midst of a market that is curiously conducive to both buyers and sellers. That’s why now, more than ever before, it is critical that you manage your purchase tactfully and with care. To help you achieve the success you want when it comes to landing that perfect home, I’ve put together ten tips that will give you a better chance at getting the home you want, regardless of whether we’re in a buyer-centric or seller-controlled market.
Submit a Pre-Approval Letter With Your Offer
These days, sellers would rather avoid the uncertainty that goes along with not having the financial backing of a solid lending institution. When making an offer submit a pre-approval letter (
not the same thing as a pre-qualification letter) to show that a bank is willing to lend you money.
Hire A Dedicated Realtor
In a world where there are multiple agents with a multi-tasking way of life, you will benefit most from working with a Realtor that is dedicated to the profession – and committed to your success. When your agent devotes full-time to the career, you will get the kind of experience that you should expect from your agent.
Make a Clean and Neutral Offer
Nothing kills an offer like one loaded with conditions, complexity and language that is hard to decipher. Make your offer clean, simple and as neutral as possible. Not only will it be attractive to the seller but also it will make your offer stand out against the rest.
Make It Your Best Offer
With the multiple offers typically seen in a seller’s market, it makes sense to come out with your best offer the first time around. Assume that your first offer is the one chance you’ll get – and chances are the seller will take it seriously. It’s also a good idea to decide in advance which is your priority – getting a good deal or getting a great house?
Put Down A Larger Earnest Money Deposit
Just like sellers take strong offers more seriously – placing a fair amount of earnest money down also demonstrates your seriousness in the deal. Consider putting down one percent of the purchase price or more – depending on your Realtors’ input and how badly you want the property.
Cash Is King With Sellers
Though sellers receive the funds either way, the difference that a cash offer makes is a matter of time and convenience. There is a longer waiting process involved with deals that are financed through a lending institution and the last thing a seller wants is to prolong the transaction when they’ve sold their home.
Shorten Your Inspection Periods
As long as you can get your inspections done you have nothing to worry about. One area that buyers can gain some leverage against others vying for the same property is by shortening the length of time allocated for those inspections. Where a typical time frame allowed for a home inspection may be 10 days, savvy buyers sometimes cut that in half.
Waive Contingencies & Offer Some Seller Expenses
If you are certain the home is the one for you and there are no issues expected prior to closing, you may want to consider waiving contingencies and then strengthen the seller’s confidence. Whether this means waiving the mortgage contingency (ideal for buyers with alternative means to finance the property) or to waive other contingencies – it will stand out in sellers’ minds and give you the upper hand over other contenders.
Present a Personal Touch
Not surprisingly, sellers are sentimental about their property and want it to go to what they perceive is the “right” family. Reach out and send the seller a personal letter explaining why you love their home and how you plan to extend the same care for it as they have done so. Attach a family picture to bring a human touch to the transaction.
Shoot for a Quick Closing (30 Days Or Less)
Rather than extend closing dates, work to resolve everything sooner than later. Sellers seeing the potential of an expedited transaction are more likely to accept an offer that provides them that opportunity.
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If you’d like to begin your home search and get in on today’s historic low interest rates, contact me today. We’ll sit down, list your must-haves, would-likes and would-love-to-haves and then set out looking!
