Looking to buy a home in the Greater Boston area? It’s a hot seller’s market because there are a lot more interested buyers than there are homes available, so time is of the essence. Here are some tips for buyers looking to purchase a home in a seller's market.
Find A Good Real Estate Agent
It’s especially important to find a good buyer’s agent in a hot seller’s market. You want an agent who will alert you to new listings as soon as they hit the market and who can alert you to coming soon listings. A good agent will also know how to make an attractive offer that stands out and how and when to use contingencies.
If you find your dream home, you’ll want to act fast. Homes sell quickly during seller’s markets, so if you wait too long, you may find that your perfect home is no longer available by the time you make an offer. Getting pre-approved for a loan ahead of time helps you know how much home you can afford and shows the seller that your financing will be in order when you need it.
Although you want to be prepared, you also don’t want to settle or get discouraged. Keep in mind that you may get into some bidding wars, but that doesn’t mean you should offer more money than a house is worth. You also don’t want to bid on a home that doesn’t offer the most important things you need in a home. You’ll want to make a wants versus needs list so you’ll know what you can give up and what is non-negotiable in a home.
Put Your Best Offer On The Table
There isn’t much room (or time) for counteroffers in a seller’s market, so you’ll want to put your best offer on the table from the start. By working with a local knowledgeable real estate agent, you can make sure that you are making a solid and competitive offer that make financial sense.
Not all buyers can afford to offer way over the listing price, and in some cases, the property value won’t be worth it. In these circumstances, the buyer can make an attractive offer with some contingencies that can speed up the transaction. For example, make a larger earnest money deposit or limit the inspection and appraisal time. Consider being flexible with dates and deadlines in a contract. Sometimes giving a seller extra time to move out can make an offer more appealing.