Tips for Buying a Home in a Competitive Market

As the United States continues to go through the pandemic, mortgage rates remain at historically low levels. That is why many people are looking to buy new homes. Yet, according to the American Real Estate College, there are not enough homes for sale. The situation creates even more competition for the average home buyer. If you want to find out how to purchase a home in such a competitive market, here is what you should know.

 

Prepare Well

Make sure you have all things sorted out first before you join the pool of potential home buyers. In particular, you should think about your finances. Improving your credit score and saving up for a down payment are the initial steps to consider. Soliciting the help of an experienced financial advisor can guide you.

 

Accomplishing and compiling documents can be taxing for homebuyers. Take the time to get ahead and prepare all your financial records and any file that can strengthen your stand as a buyer. Proper research is also important. You should know the area of the property and the real estate agency you can trust. Lenders with local connections can speed up the process for you. They can understand the market you want to enter. They can also help you close on a house with fewer issues.

 

Make Your Offer Stronger

You can strengthen your offer by getting a strong conditional approval or pre-approval. This will show the home seller how serious you are in securing financing for your potential home. Find a lender who will underwrite the finances you have before you can make your offer. Placing an EMD (earnest money deposit) shows your good faith and your readiness to close the home.

 

Be sure your offer is complete. Your offer should include the relevant information and forms. This is important since the seller will be facing multiple bids on the property. If your offer is incomplete, it will likely end up in the trash. Paying attention to details is important. You should also make sure to offer above the seller’s asking price. Buyers often linger close to or lower than the asking price.

 

Making a large down payment can make your offer stronger while working on the seller’s timeline. A seller might need to close the home soon because of a waiting home or job in another place. Other sellers may not want to sell that quickly at all. The seller of the home you want to buy may need to stay in the house until the school year ends. Consider this as well. Make sure you meet the seller’s needs.

 

Purchasing a home in such a competitive market can be intimidating. At Pacific Real Estate Group, we only want to help you get your dream home as smoothly as possible. Contact Pacific Real Estate Group in Cucamonga, California, at (888) 452-0974 for an in-person consultation or for inquiries about our home buying assistance packages.