Tips for Buying a Home in a Seller's Market

    Tips for Buying a Home in a Seller's Market

    May 30, 2018

    Buying a home can be a daunting process, even under the best of circumstances. Your home will more than likely be the biggest purchase of your life, and as such, some stress can be expected. The best way to mitigate that stress is to work with a trusted real estate professional who understands the market and can negotiate for you.

    This is especially vital if you’re buying in a seller’s market such as the one we're experiencing now in East Tennessee. There's an influx of buyers competing for a shrinking inventory of homes, which means you may find yourself going up against other buyers for properties. The good news is that you can rest easy when you work with a qualified real estate professional who has the training and experience to give you the advantage.

     

    Here are some tips for buying your next home in a seller’s market.

    Be Careful of Home Sale Contingency Issues-

    So you want to buy a home, but you need to sell your current home first. This is a common challenge for buyers. When a lender requires you to have your current home sold before you can close on your new one, you will need to craft an offer that allows for this situation.

    It's possible to make your offer contingent on selling and closing on your existing property, but you will need to figure out what the timeframe looks like and whether the seller is willing to cooperate. This might seem complicated, but your agent is in the best position to advise you given the details of your situation and how it plays out in the current market.

     

    Make Sure Your Finances Are In Order-

     

    The last thing you need are surprises that will derail the purchase of your dream home. Ideally, you should start well before you want to actually make a purchase. Get credit reports from all three reporting agencies and clear up any problems.

    Also, make sure you work with a reputable mortgage professional to get pre-qualified before you even bother looking at houses. In a seller’s market, there are buyers waiting to snatch up the hottest properties and you can't afford to delay the process while you get your ducks in a row.

     

    Make Your Best Offer Immediately-

     

    You don’t really have the luxury of slow negotiation in a seller’s market. The offer you make will more than likely be one of many, so make it your best in order to stand apart from the others. In other words, don’t go around making low ball offers and expect to get anywhere with a seller when they have plenty of other offers to choose from. You’ll just be wasting your time by not coming in strong. Again, your real estate professional can advise you through each step of this offer process.

     

     

    Be Realistic About Closing Costs-

     

    Don’t expect the seller to pony up an exorbitant amount towards closing costs in a seller’s market. They simply just don’t have the motivation to cover the costs when they have serious multiple offers. Your real estate professional can help you work out the right deal to make sure the closing costs are fair for everyone.

     

    With the help of a trusted real estate professional, buying your new home in a seller’s market will be much easier. Coldwell Banker Wallace & Wallace sales professionals have the training and expertise to advise you. Let us help you make your dreams of home sweet home become a reality.