Springtime is well known to be the most hectic for home buying and selling, for a number of reasons- people enjoy looking at homes in warm (but not excessively hot) weather, flowers that bloom in the Spring make homes more appealing from the curb, and people have yet to leave the area for the Summer. With that in mind, many choose to sell or buy homes during the season, which can be difficult given the high volume in play. Here are a few tips to keep in mind if you’re planning on buying in the Spring:
Focus on the home, not the Owner
It can be tempting to get hung up on whether a home is a foreclosure, a short sale, or owned by a traditional seller. Focus on the home’s location and look for houses that meet your basic requirements- if a particular market is dominated by short sales and foreclosures, those prices will be the norm among most sellers.
Hire a Neighborhood Specialist
All real estate is local, so a local real estate agent who specializes in the area where you want to buy will serve as a wealth of information for you. Furthermore, that agent will likely be well-known and respected among the area specialist listing agents. Working with an agent that’s well-liked by other agents is a major plus.
Be Prepared to Pay List Price
Many buyers choose to focus on how much the seller is asking, instead of how much the home is worth. Consider asking your agent to show you a CAM of comparable sales to figure out the home’s actual value, and don’t rely on the values of other homes on the market, as sellers can ask whatever they want. Assuming you’re getting the home you want at the price you can afford, paying $1,000 more or less makes no difference in the larger scheme of things.
Give the Seller Something Other Buyers Won’t
A purchase offer contains a range of terms beyond price, so consider giving the seller a benefit to take your offer without giving away all of your rights. For ideas, ask your agent- it could be something as small as giving the sellers an extra day to move out.
Get Pre-Approved by a Local Lender
Don’t try to compete with an online lender approval letter or an out-of-area mortgage lender letter. Be sure to obtain a pre-approval letter from a local bank or a local mortgage broker before trying to buy, so as to ensure potential sellers that you’ll be able to purchase the home in the first place.
Source: The Balance