The real estate market goes up and down due to the economy, interest rates, supply, demand and other financial factors. A buyer’s market is when there are more homes for sale than buyers. Buyers can take their time because supply outweighs demand. On the other hand, when demand for homes is greater than the supply, it’s a seller’s market. Homes sell quickly. Sellers may get several offers on the home, often within a quick time frame. Bidding wars start. In a hot market, buyers have to be more proactive in their search for a home. You’re in a competition with the other buyers.
Make Your Offer Stand Out in a Hot Real Estate Market
To buy a home in a hot market, you need to be organized and prepared. Sellers will have multiple offers and don’t have to wait for you to get your act together. Here are some recommendations.
1. Get your finances in order. Check your credit report. Get pre-approved for a mortgage.
2. Know your wants versus needs. In a limited market, you limit your choices when you have a large list of must-haves. Prioritize your needs to make quick decisions when you finally do find a home that you like.
3. Tell your family and friends that you’re shopping for a new home. The more homes you look at, the more likely you’ll find your home quickly.
4. Work with a full-time real estate agent. You want an agent who has time to help you find a home. Make sure you get an experienced agent who is responsive.
5. Be responsive to your agent. Not only do you want an agent who communicates with you, in a seller’s market, you need to be quick to respond to your agent.
6. Be prepared to make an immediate offer if you’re interested. You’ll need to make a strong offer, so listen to your agent’s advice when it comes to making a bid.
7. Avoid contingencies. While you shouldn’t skip a home inspection, you may need to limit other contingencies that could impact the seller’s decision. At the very least, shorten the period of time for the contingencies.
8. Don’t make demands of the seller. You want your offer to be accepted, so be flexible to meet the seller’s needs. In a seller’s market, the seller has the upper hand.
9. Be ready for a bidding war. Don’t get emotional about a home. Be prepared to negotiate, but don’t forget about your budget.
10. Be patient. In a seller’s market, consider the journey as a marathon, not a sprint. Have a contingency plan if you need to move quickly to avoid acting on impulse.
Buy Your Home in Chapel Hill
Considering buying a home in the Chapel Hill area? Chapel Hill Realty Group has been doing business for over 65 years and have the knowledge and expertise to help you find your dream home.
Contact us online or call our experienced team directly at (919) 942-4149 today!