What does it take to buy a home in today’s market?
Finances – The first thing you must do to buy a home in today’s real estate market is get pre-approved by a mortgage lender. This one is crucial. You need to know the numbers before you start to shop for a home. You need to know what the monthly payment will be, what your interest rate will be and how much the closing costs will be. You will also need to be pre-approved for financing a home before you make an offer. In today’s real estate market there won’t be time for that after you have found your dream home.
Purposefulness – In today’s real estate market home buyers must be very purposeful about their home search. It is really important to have a list of features that are must haves for you. We highly recommend having a Home Buying Consultation with your agent before you ever start looking at homes. Home buyers must approach their home search with a focus on finding a home and being willing to act quickly on it. Suffice it to say, having a need to think about making an offer for a few days is a recipe for failure in most cases in today’s real estate market.
Market Knowledge – Having a clear understanding of real estate market conditions is really important. Home buyers that start their home search with a mindset of finding a great deal and paying 20% less than list price on a home are living in the past. That market has been gone for a while now. In today’s real estate market, homes are selling for 97% – 98% of list price on average, with many new listings selling at or above list price. And the new listings are in many cases selling in just a matter of days. You will need to be decisive and pre-approved.
Real Estate Expertise – Working with an agent that understands today’s market and knows the area and neighborhoods you are looking in is really important. Today’s real estate market is no place to be working with an agent that does real estate part-time or isn’t serious about it. You need to be represented by a real estate agent that is active showing homes and getting offers accepted for their clients.
Ready to buy a home? Schedule a home buying consultation to find out more about today’s real estate market in the areas and price range that you are interested in.