The Secret to Buyer's Success in this Seller's Market
We are in a seller's market. If you are a buyer, seller, or in the business I hope you've heard already. It is great for sellers, of course. They get to run the table, for the most part, when selling.
Buyers have fought over properly-priced homes all year. And with interest rates STILL very low, it will continue this way until either more sellers sell, more home builders build, or prices rise too far and we get another pullback. I professionally believe we are going to see a little of all three events happen, with a caveat on the pullback being less of a slide back and more of a flattening off of prices.
How are Buyers Negotiating Successfully?
Here's three tips a buyer MUST do to secure their dream home when buying in a tough seller's market. Again, these tips are assuming the houses pursued are priced appropriately:
TIP #1 - BE FULLY PREPARED
Seriously, any buyer looking at houses that aren't at least pre-approved won't have a shot. Here in Southern California the listings don't stay on the market very long. If you're expecting to have time to get your financing in order after you find your dream home, you have a surprise waiting for you! In fact, that doesn't bode well in a normal housing market either. As in life and real estate, the ill-prepared are prepared for failure.
TIP #2 - PUT THE MOOLA IN PERSPECTIVE
You are offering hundreds of thousands of dollars in the purchase. I get it! It's scary! But in the full perspective of a house purchase a few thousand dollars here or there to sweeten the pot for the seller may be in order. Talk to your lender and be sure to get monthly payment quotes that are all-inclusive, including principle and interest payments, property taxes, insurance, etc.. You may find that the extra five grand you need to secure your purchase and win the bid over other buyers may only add a couple extra bucks a month to the payment!
TIP #3 - GET A STAR NEGOTIATOR AGENT
Absolutely get an agent you can trust, BUT BE SURE SHE CAN NEGOTIATE TOO! An agent's negotiation skills are one of the most underrated traits of a successful REALTOR. If you're getting beat on every offer, maybe your agent is too nice! Seriously!
I like nice people. I only want to be around nice people. But when you're negotiating a real estate sale, nice has no place. You want a bulldog that will smartly and strategically fight for your interests. Being in the business for almost a decade has taught me that a REALTOR® that has zero negotiating skills better learn quick. To truly serve our clients we must pursue their interests in the transaction to the best of our ability and within the parameters of the law.
Are you thinking about buying or selling a home? We can help! And we have Agents On-Demand and ready to assist you now:
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