Here are three great tips for home-buying success in our market.
In a seller’s market like the one we’re in now, there are far more buyers than there are available homes. Competition is fierce, and it becomes a “best offer wins’’ type of scenario. Here are three unique ways that you can win as a buyer in this strong seller’s market:
1. Get pre-approved by a lender without overlays. It’s the path of least resistance for you. It gives you better loan options, better interest rates, and more buying power. Unfortunately, 99% of Realtors don’t know what a lender overlay is and if you ask a lender about it they can strategically work around the question. You’re going to have to call me on this one instead to learn more about overlays.
“Don’t be afraid to make an offer over list price.”
2. Find out your maximum buying power. Whenever you find that home and submit an offer, your agent is generally going to ask for that pre-approval from your lender for the amount of money you’re offering. That’s a bad strategy in today’s market. We want to find out what your max is, which is another good reason to go with a lender with no overlays. Then you can get a higher pre-approval and show the seller that you’re a strong buyer. Most Realtors and buyers don’t do this, so you’ll differentiate yourself by doing so.
3. Submit a higher offer than what’s being asked. Don’t be afraid to make an offer over list price. The last listing I sold was priced at $205,000 and it ended up selling for $207,500. This is the reality of a seller’s market. If you write an offer for a few thousand over the list price and win, it’s going to have a small impact on your mortgage payment.
If you have any questions about these tips or anything else related to real estate, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.
