Warning! 5 Major Mistakes Buyers Make In A Seller’s Market
In our last blog post, we covered How to Buy a House in a Seller’s Market. We’re continuing this series with more helpful information for potential home buyers. Today, we will be sharing the major mistakes buyers make in a seller’s market and how to avoid them. We are here to help you navigate the Crystal Coast market and prepare you for what to expect. Here are five things to avoid when you’re buying in a seller’s market.
1. Choosing an Inexperienced Real Estate Agent
Choosing the right real estate agent is imperative when buying a home in a seller’s market. Experienced agents know the ins and outs of the local market and help you save time and money. With nearly four decades of experience, Bluewater has been a top company on the Crystal Coast for the last 35 years. Choose a Bluewater real estate agent before you start the search for your coastal home.
2. Not Being Pre-Approved for a Loan
Not being pre-approved for a mortgage loan is one of the most common mistakes buyers make in a seller’s market. A pre-approval letter determines how much you can borrow after submitting your financial information like income and credit. Getting approved ahead of time is the best way to show the seller that you are serious and ready to buy now.
3. Not Making your Best Offer First
Typically you can submit an offer below the asking price and negotiate with the buyer, but a seller’s market works a bit differently. The shortage of inventory in this market means that buyers must act fast and put their best offer first. An offer that is too low may not even be considered, and if you wait too long to make an offer, the house may already be off the market.
4. Being Unprepared or Unavailable
When we say homes go fast in a seller’s market, we mean it. It’s not unheard of for people to make offers on a home before they even see it in person. So, if your real estate agent cannot reach you when a home comes up, it may be gone by the time you reach out. The main takeaway is to be ready and prepared to make an offer fast.
5. Unprepared for Negotiations or Bidding Wars
Odds are your offer will be rejected at least once during the home buying process. You may even enter a bidding war, which can cause you to pay over your max budget if you are unprepared. The best way to stay within your budget is to search for homes below your price range. This creates some leeway in case negotiations take place after your initial offer. During negotiations with the seller, your real estate agent will be your best asset.
Navigate the Seller’s Market with Bluewater
These common mistakes buyers make in a seller’s market are easily avoided with the help of a trusted real estate agent. Our Bluewater real estate agents are on call to answer questions and help guide residents, and newcomers alike, through the local real estate market. Contact us today and let us help you get started finding the perfect home on the Crystal Coast.