Whether you’re looking for a house to buy or are out to sell your home, you need to navigate the market well to succeed. Most people prefer to sell or shop for houses during spring when it’s warm, green, and sunny. During this season, sellers can showcase their homes to potential buyers better.
But besides appearance, most buyers pay attention to the selling price attached to homes. They contend with various challenges, including multiple bids, low home inventory, mortgage rates, and steep prices. Although there’s always hope for a balanced housing market, buyers can take specific steps to approach their search for a home confidently.
If you’re looking to buy a home this year, these five strategies will help you navigate the housing market like a pro:
1. Get Your Mortgage Pre-Approved
Before searching for a house, get your mortgage pre-approved by your lender if you don’t plan to pay cash. A pre-approval means the lender has thoroughly investigated your finances and established your eligibility for the loan based on existing conditions.
It places you at an advantage as most sellers want to deal with buyers who have taken such serious steps. A pre-approval also shows you are both able and serious about buying a house. In hot markets, most sellers turn down offers from buyers who don’t have pre-approval letters. Neglecting this step can cause you to miss out on the home you want. Thus, you can find a broker here if you need a pre-approved mortgage to buy your dream house.
2. Clarify Which Aspects Matter Most to You In a Home
To navigate the housing market like a pro, you need to clarify which aspects matter most to you in a home. While a mortgage pre-approval presents you as a serious buyer, it also gives you an idea of how much you can afford to spend on a home. Having a solid budget allows you to determine the aspects that matter most to you in a home and the ones you can compromise.
3. Get a Highly-Qualified Housing Agent
The other thing you need to navigate the housing market like a pro is a qualified agent who has your best interests and understands the local market well. Getting a good real estate agent with in-depth knowledge of local communities and solid expertise offers you a huge advantage when buying a home.
Such an agent brings reasonable sales prices and understands how fast homes sell in specific locations. You can benefit from their insights on zoning rules, neighborhoods, social amenities, and even schools in localities that you’re considering. While it’s possible to consult a listing agent when purchasing a house, getting a real estate agent allows you to come up with compelling offers in line with your needs.
The agent can negotiate a good deal on your behalf while guiding you through the selling or buying process to avoid costly delays or mistakes.
4. Support An Offer With a Big Deposit
When buying a house during the peak season, you need to boost any offer with a considerable deposit. If you can get the funds, paying off a generous amount on the home you want causes sellers to perceive you more favorably. To them, a large deposit reflects goodwill and motivation to make the purchase. Generally, the deposit is applied to the down payment or loan closing costs.
Withdrawing from the deal for reasons not provided in a contract contingency can mean forfeiture of the deposit to the seller. But this shouldn’t worry you if you have no plans of withdrawing from the deal. Moreover, you can recover the whole amount if it’s discovered that the property has problems or if you cannot obtain title insurance.
5. Be Ready to Act Fast
You’ll need to act fast to benefit from competitive offers in the housing market, particularly in the peak seasons of summer and spring. In most cases, homes sell within days during these seasons. Any viewing delays can cause you to miss out on great offers. You can benefit more if your agent prepares the way sellers want to avoid wasting time qualifying counter offers.
Final Thoughts
The housing market can be challenging to navigate, particularly when buying or selling a home for the first time. However, you don’t have to struggle and miss out on opportunities that peak real estate seasons bring. You can navigate the market like a pro by applying the five strategies discussed above.
