Trying to buy a house during a sellers’ market can be a nerve-wracking time.
Real estate prices rise but houses continue to fly off the market and you want to stay out of bidding wars but also fight F.O.M.O. at the same time.
Take a deep breath! We’ll try to teach you how to buy a house during a sellers’ market without losing your sanity.
During a sellers’ market, find a real estate agent you trust
Seriously, this matters more than some people may believe. Honestly, regardless of the market, you should find a real estate agent you trust. Find an agent you feel comfortable with and who demonstrates the ability to listen closely and show they understand what you want in a home.
Have a pre-approval letter before your search
Most real estate agents will put this first on your to-do list, especially during a sellers’ market. Houses don’t spend nearly as much time on the market as they did in years’ past. Some sellers are accepting offers the same day they are listed.
Patience and flexibility are key
Being a home buyer during a sellers’ market is not an easy task. To get a good deal on a house during a sellers’ market, you’ll need to look at a lot of listings. You may also need to make some sacrifices on things you want.
Also, understand that you may get outbid on several listings. It can hurt to see a house you like sell to someone who was willing to waive inspection or pay over the home’s expected appraisal. However, you don’t need to lose your cool. There will be another house you like eventually.
Consider looking at houses listed below your max purchase price
Homes are still selling above listing prices in 2022. So, be sure to consult with your real estate agent and at least mix in a few houses that are beneath your maximum purchase price.
If you’re handy with minor repairs or have enough in savings to be able to purchase an imperfect house, that may help you land a house quicker.
Be prepared to make a same-day offer during a sellers’ market
It’s hard to make a quick decision when buying a home is likely going to be the largest purchase you’ll make in your life. However, that’s the nature of the housing market right now.
Again, having a real estate agent that you trust is going to come into play here. Your real estate agent needs to have a firm understanding of your needs to make sure you’re getting the house you want when making a same-day offer. Further, don’t waive the home inspection if you’re worried about having costly repairs.
Don’t play games with your offers
During a sellers’ market that’s seen houses sell for over asking price, sellers aren’t going to make a lot of counter offers. They don’t need to when someone else is likely going to make an offer the same day.
Huddle up with your real estate agent and make a competitive offer you feel comfortable with given your financial situation. If the seller doesn’t accept, at least you can feel good knowing you gave it your best shot.