It’s a hot seller’s market this winter. In Hamilton/Burlington alone, the REALTORS® Association of Hamilton-Burlington (RAHB) reported a 41.6% increase in home sales in December 2020 over December 2019, however, there are 52.2% less active listings. This means: there aren’t many homes for sale but there are a lot of buyers who want homes. With interest rates at an all-time low, buyers have bigger borrowing options than usual and sellers have the upperhand.
If you’re selling a home, you’re sitting pretty. If you’re a first-time buyer, it may feel daunting. We can help you navigate this seller’s market and find your needle in a haystack. It’s there. We’re sure of it.
Here are a few tips for buying in a seller’s market.
- Make an offer quickly (but not hastily). It’s common for first-time buyers in a seller’s market to feel pressure to put in offers fast. This being said, you definitely don’t want to sit and wait and think for too long. Sometimes, fast is good in this kind of market— but it’s also important that you’re putting an offer in on a home you actually want. Buyer’s remorse stinks. For this reason, you should pause long enough to know it’s right but not long enough to lose the opportunity.
- Get a pre-approval. If there are competing offers, the one with pre-approval says that you’re motivated and ready. This is a strong bargaining chip.
- Cut back on contingencies. The less red tape holding up a sale, the more appealing your offer is. That said, be careful and thoughtful with the contingencies you let go of.
- Write a letter / make a video. If you really love the home, tell the owner by letter or video. Sometimes, homeowners have an emotional attachment to their home and they want it to go to the “right person/people.” Sometimes, caliber of character trumps money. It’s worth a shot.
- Trust the process. In a seller’s market, buyer’s lose. A lot. Until they win! Know that if you’re outbid or you’re too late that the right home will show up. It always does.
Contact us with questions. Your home buying experience should be a positive one.