Last week I showed a home that just came on the market to a buyer who has been waiting for some new options in South Minneapolis. This home was well priced, excellent condition, and had everything a first time buyer could want.
Of course, he loved it, but his wife was out of town, so he hesitated to write an offer.
That evening an email came in from the listing agent. “Thank you for showing our new listing and your patience while we are combing through 28 offers…..”
It’s no accident that this home had multiple offers. There are reasons why it happened:
- The home has what every buyer wants. 3 bedrooms, 2 bathrooms, 2 car garage in a comfy neighborhood.
- Photos are professional, and taken last summer when there were leaves on trees, grass was green, with a bright blue sky. (I told my client not to expect that it looks just like the photo, we have snow on the ground.)
- Photos are realistic; the house looks like the photos. The worst thing is when the photos look better or bigger than the house? That irritates buyers.
- The home is UNDER PRICED. You heard it right, underpriced. When you have a stampede, the final purchase price rises and gives the listing agent a valuation defense with the appraiser. Or, the buyer can pay the differential if there is an issue.
- Staging is comfortably minimalistic, and looks like someone lives there.
Typically, the spring market in the Twin Cities starts at the end of February or March, I’ve shown homes at 10 degrees below zero, but it’s much easier when it’s warmer. January 2017 behaved like March, it even reached 40 degrees some days. That means buyers are out hunting now. We are at an historical low number of homes on the market, and it’s not unusual to expect multiple offers on homes under $350,000.
What this means to home owners is that the time is now if you are at all considering selling your current home, and finding a new life. Be aware, that a seller’s market isn’t magic. Smart homeowners take the time and energy to really prepare the home like a beauty pageant. There are still some expired listings, or homes that linger on the market.
Buyers need to be prepared by having financing in place, and be confident with how much they are comfortable spending each month. It’s important to understand that you’re not the only one looking at the home even though it seems that way while you’re there. Having an agent who is experienced with multiple offers and a multiple offer strategy is crucial in not only finding a home you want, but getting you to a closing.
If you are at all interested in buying or selling this year, do something today that you will thank yourself for tomorrow. Give me a call. We’ll make a plan.