Here’s what you should do to prepare for a home purchase in a competitive market.
Buying a home is part of the American Dream. Buying a home in a competitive market, however, can make things a bit more challenging. It’s not uncommon for homes to spend just days on the market, especially when there are plenty of homebuyers who are quick on the draw. When you are looking to purchase a home in a competitive market, there are some moves you can make to find and buy your dream property.
- Secure a Real Estate Agent
The single, most important thing you can do to help yourself in any real estate search and transaction is to hire a qualified real estate professional. Agents offer advice, education, networking, and negotiation on your behalf. Working with an agent who is experienced in hot markets can make all the difference and save you lots of time and heartache in the long run.
- Get Preapproved
Remember that there is a difference between preapproval and prequalification. The latter only shows how much house you can afford based on your income, whereas preapproval means that the lender has reviewed your finances and determined how much mortgage you can afford. Submitting an offer with preapproval shows you’re a serious buyer, and you could knock out a lot of competition that does not have such a letter in hand.
- Be Prepared to Make a Quick Decision
It’s not ideal, but the most difficult part of a competitive market is the buyer having to make rash decisions. Buying a home is typically the largest investment you’ll ever make, and one way to make decisions easier is to figure out priorities ahead of time. Review your list of must-haves on a property walkthrough and be prepared to go with your instinct.
- Make Strong, Flexible Offers
In a perfect world, you would make an all-cash offer. For those who can’t, it is still possible to compete. One way to gain an edge is to offer more money. It doesn’t always have to be a lot of money, but sometimes an extra one or two thousand can separate you from the rest. Your real estate agent will help you propose a clean offer (meaning no contingencies). It has to be competitive for the seller to consider it.
The Lynch Group at Residential Agent, Inc. are dedicated real estate professionals that can help you buy a home in a competitive market. Serving Orange County and surrounding cities in California, contact us to find out how we can help you find your dream home.