How to be a Competitive Buyer
While many markets are still struggling, it is not the case for all
of them. There are still many desirable neighborhoods that have healthy
inventory levels and conditions that draw in multiple offers. Here's
some ways that you can be a competitive buyer in these booming markets.
of all, be ready to buy and know what your objectives are. Have a clear
budget with boundaries of what wiggle room you will have. Know
whatÂ amenities are must-haves and what things you can do without.Â With a
clear plan of action, you will be better able to know a good deal when
you see one and act on it.Â Any sort of hesitation can costÂ buyers their
dream homes even if its just spending "one night toÂ think about it" or
goingÂ "toÂ see what else is out there."Â Just oneÂ day or nightÂ can mean
missing out on the ideal house altogether.
Second, be positive
that you are pre-qualified and pre-approved for a loan. Be ready before
even stepping into the seller's home. You wouldn't want to put in an
offer on your dream home onlyn to find out that the financing has
fallent through. Lending is tight right now and you may not qualify for
as low of an interest rate as you might think. Others may not even
qualify at all! After you are pre-qualified or approved, be sure to stay
in contact with your lender, so that there are no surprises when it
comes time to make an offer.
Throughout the entire process,
communication is key. Be sure to keep in contact with your agent about
new listings and showings in your area. New homes are constantly
entering the market and in hot neighborhoods, they aren't for sale long.
Even waiting just a few days can cost you losing a home to another
Next, bid competitvely. Use your agent's access to market
stats, which show how much similarr homes have been selling for. By
comparing other homes, you may be able to come in a little under list
price and still be competitive. Or, the home may already be underpriced
and in order to beat out other offers, you may need to offer more than
the list price.
Finally, stand your ground andÂ stick with what
you're comfortable with. Don't lose sight of your goal of finding your
ideal home with a desirable price. Stay within your original budget by
not getting caught up in the excitement of a bidding war. By following
this advice, you'll be signing the dotted line and living in your dream
home in no time!