Top 4 Necessities for Home Buyers to Win in This Seller's Market
Considering buying a home in today's market? Get these four important pieces in place before you start looking and have the best possible chance of success as a buyer in the current market.
To be a successful home buyer in this current market you will absolutely need these 4 things:
1. Proof that you are a strong buyer financially.
Since sellers know there are a lot of people wanting to buy right now, they want to make sure that whoever they go to contract with for the purchase of their property is in a financial condition to definitely close on the deal. This is true whether you are the only person making an offer or if you are competing with 15 other buyers.
You need to have proof from your bank (either a bank statement or a letter on the bank letterhead) that you have the cash to make the purchase or you need a pre-approval/loan commitment letter from a direct lender showing that you qualify for financing based on documentation reviewed by that lender. Without one or the other of these your offer probably wonít even be looked at Ė so make sure you get this preparatory step done before you start seriously looking.
2. A good understanding of what you need and want as well as what is and isnít acceptable to you.
The more certainty you have about what you like and donít like, the faster you will be able to decide and act. The more things that are Ďmaybeí for you, the more difficulty you will have in finding what you want or acting once you find something that would work for you. You can always change, broaden and refine your criteria but at any one time you need to know if something will or wonít work for you.
3. An ability to decide and act quickly.
This will require that you know what you want and what you donít as described in #2 above. But this also requires planning.
If you work during the day and canít go see houses until the evening or even the weekend, it may be more difficult to beat out other buyers when the right house does come along. If you are restricted by your work schedule then try to work out an alternative solution such as a family member or friend going to see properties for you, or having your agent do FaceTime or Skype when they find something they think you might like.
If there is more than one person involved in the decision, a plan should be worked out so that when something comes up you wonít lose precious time trying to reach the other person/people. The best way ensures there are no unnecessary delays while at the same time still ensuring they do get to participate in the decision.
4. The right professionals working for you.
There is a list of experts you will need to watch out for you when purchasing. Mortgage professionals, inspectors, real estate agent, etc. They all need experience in a market like this one and also need to know the right methods to use that can give you an advantage. If you don't have the right people on your team, you will have a much more difficult time getting what you want while still being protected.
The goal in this market is to buy something you will be happy with for years to come while still ensuring you donít overpay or overlook property condition issues that you donít want.
If you have all 4 of those things in place then you have the best possible chance of success as a buyer in the current market.
If you are missing one or more of them, then you should either wait until we move into a more balanced market or you should work on getting the remaining items you need before you get into serious buying mode.
Ron Nedd is a licensed Realtorģ with over a decade of experience serving buyers and sellers. He specializes in the sale and purchase of residential
properties including single-family homes, condos, and townhomes in the Los Angeles, Tampa Bay, Clearwater, and Clearwater Beach areas.
Ron can be reached at Keller Williams Realty Los Feliz
Hillhurst Ave. Los Angeles, CA 90027