In a seller’s market, home buyers need to be willing and able to act fast to snag the home they want. This spring, areas across the country are facing a limited number of homes for sale. Realtor.com® offers up a cheat sheet for surviving a seller’s market.
Check out the seller’s market survival tips below to stand out from the competition and get the edge.
Know the signs
Even though you may hear you’re in a seller’s market, where’s the proof? You can watch for these two red flags:
- Houses are selling for more than asking price.
- Homes sell quickly, and inventory doesn’t hang around.
Be on call
If you’re only looking now and then when it’s convenient, you’re probably wasting your time.. treat house hunting like job hunting. To succeed in a seller’s market, you have to make house hunting a priority—not just something you fit in here and there on the weekends if you have nothing better to do.
Bring the paperwork
To be taken seriously, buyers would be wise to get a mortgage pre-approval letter as well as a “proof of funds” form from their bank to show they have enough to cover a down payment.
Limit the contingencies
In a seller’s market, buyers may need to drop some of the contingencies to score the house. Sellers prefer the fewest number of hurdles to closing as possible. If your buyers come in with several contingencies — such as “if” they secure financing — the sellers are more inclined to bypass their offer and take another with less hassle.
Cast a wide net
Search for homes outside prime locations if faced with limited or high-priced choices. Buyers need to carefully consider what they’re willing to compromise on… Sometimes properties sit, even in a seller’s market, because of a problem that is scaring other buyers away, such as some renovation work that may need to be done, Those “flaws,” however, might not be a big deal and can often be fixed later.