This seems to be becoming more and more true in this increasingly competitive real estate market in our area, and around the country.
I shared my thoughts on this issue on my CARLSBAD REAL ESTATE NEWS blog and the post, which got featured, generated some interesting commentary from other agents.
The market has changed fairly quickly in some areas, and as a buyer you will find it helpful to understand what is going on in many areas and price points as you consider your buying and offer strategy. I’m happy to talk further with you about your particular situation, but take a look at the full article.
Here are the BUYER TIPS I shared in that post:
- Be SURE to have an updated pre-approval letter in your hands or, better, on your computer
- Be able to provide Proof of Funds (you will often see this abbreviated as POF) for your down-payment and earnest money deposit (EMD)
- Know the comps – this will take some work with your REALTOR – for the home(s) you are interested in
- Do not delay in making an appointment to see a new listing. New buyers are entering the market all the time
- Do NOT assume a listing you like that has been languishing on the market will continue to sit there while you ponder. Remember…NEW BUYERS are hitting the market all the time and they might like the same house YOU do and be prepared to make a move
- Know your budget (not just what you qualify to borrow) and make SURE you know what you are and are NOT willing to spend
- Be ready to make an offer if you like the house and would like to own it. Taking a night or two to “think about it” might be the kiss of death. REMEMBER THE TITLE OF THIS POST?!
- Don’t get caught up in the auction-like atmosphere that can happen with multiple bids
- Know that the home still has to appraise if you are getting a loan. Just because you are willing to spend more does not mean the bank will.