Whether you’re looking to buy your first home or ready to make a move into something new, there’s no doubt that we are living in a seller’s market. In fact, the average price of homes is rising at a rate of about 5% annually. What does this mean for buyers? If you’re ready to stop losing bidding wars and fawning over homes that are already under contract, keep reading to learn some tips that will help you ensure you score your dream house.
1. Give Yourself a Financial Advantage
Cash is the absolute best option in a seller’s market. If you can purchase a home completely in cash, you’ll have an edge over other potential buyers. If cash isn’t an option for you, getting pre-approved with a legitimate lender helps, too. Pre-approval goes further than prequalification because it allows you to complete all necessary paperwork in advance of your purchase. This, in turn, will make you a much more competitive buyer in a seller’s market.
2. Keep Your Budget in Mind
If you’ve been searching high and low for the perfect house with no luck, it may be
tempting to give in and bid on a house that is over your budget. While it may solve one problem – looking for a house – it will only cause you headaches down the road when it comes time to pay your mortgage. Stay patient, and eventually you will find a home within your price range. Remember, you should aim for a mortgage payment that’s no more than 25% of your monthly income on a 15-year fixed-rate mortgage.
3. If You’re Also Selling a Home, Be Prepared
If you’re a buyer with a home to sell, it’s important to be prepared for the transition moving into your new house. Research short-term living options in case your home sells quickly so that you have a place to live while you continue to look for new homes. For example, knowing you are going to rent an apartment or stay with friends or family for a period of time will relieve stress. While the thought of moving twice may not be appealing, it’s much better than making quick decisions and rushing into a home that’s not right for you.
4. Choose the Right Realtor
Buying a home is a stressful process no matter what. Make sure you choose a realtor that will help alleviate stress and work through negotiations properly. If you choose a realtor that is completely transparent with you and knows how to work through negotiations, you’ll find buying a home much less stressful. Finding someone with experience and technique is crucial in making the process as smooth as possible. Ready to start your home search? Contact us today and schedule an appointment with any of our seasoned realtors!