How can buyers compete in this competitive market? Before I answer that question, let me share a couple of statistics that will help you understand what’s happening in our market. In August of 2020, 55% of all homes sold as the result of a bidding war, and 69% of all homes listed sold in less than a month. Since then, the market hasn’t changed. With so few homes available, competition is hot among buyers. If you want to make your offer stand out, here are three tips to remember:
1. Get pre-approved for a loan. This proves your ability to get a loan. When you submit your pre-approval letter along with your offer, it shows the seller you’ve taken the necessary steps and are ready to buy.
2. Know what you can afford. Be prepared to cover expenses outside of your monthly mortgage, such as general upkeep, utilities, and unexpected repairs.
3. Make your best offer. To reiterate: You’re competing against other buyers out there. Homes are averaging three offers before being sold, so you have to ask yourself what’s most important to you and your family about this upcoming move.
Bonus tip: Ask your agent for advice on how to further entice your offer to sellers. Your agent knows what the market is like, so they’ll have some insight as to what will make your offer more attractive. Please heed their advice.
If you’d like to know more about strengthening your offer or have any other real estate needs, don’t hesitate to reach out to me. I’m here to help.