When the demand for housing is high and prices are climbing it can often feel like you’re stuck in a feeding frenzy, especially if you’re buying your first home. The pressure to secure a property can feel intense leading to high emotions and rushed decisions. Since it’s the biggest purchase many people will often make in their lifetime, all of this can make buying a house feel very difficult.
There are several ways to make it easier to find a home, especially in a competitive market. Here are six helpful strategies you can use to increase your chances of success.
Get Pre Approval Sorted As Early As You Can
Before you start with your property search it’s wise to get pre approval from your lender. With your finances sorted you’ll know exactly what you can afford. This gives you an edge when presenting offers to sellers.
Pre-approval doesn’t always guarantee that your offer will be accepted. Sellers will often prefer the safest bet, especially in a competitive market. If you’re relying on a mortgage it’s important to have full pre-approval sorted so only a property valuation is needed before a sale. This can sometimes be as good as a cash buyer. A full approval means the lender has thoroughly assessed your position rather than just taking your details at face value.
Act Quickly But Not Impulsively
Homes can sell fast in a competitive market. When you find a property that suits your needs, don’t delay making an offer. Be ready to act quickly and put forward your offer as soon as possible to increase your chances. If you can try to make an offer before the auction day, the seller might accept it and save you the stress and uncertainty of bidding at auction.
Be Prepared To Offer More Than The Asking Price
A home’s listed price is normally the upper limit. Recently however the listed price is frequently just a starting point. You might need to offer at or above market value to stand out – offering cash can also be advantageous!
If you’re ready to purchase, a good strategy is to look for homes priced below your maximum budget. This gives you room to bid higher without tapping into your savings or exceeding your target price. This approach can make you more competitive in a market where offers often surpass the listed price. Before you start your search, determine how much you can afford to spend by considering your income, expenses and savings for a down payment.
Broaden Your Search
Finding a home that ticks all your boxes can be difficult. It’s wise to expand your search criteria to include properties that might not meet all your preferences. Look into neighbouring areas or suburbs with similar amenities but potentially better affordability or availability. Hidden gems and off-market listings can sometimes offer great value and less competition. By widening your search and keeping an open mind, you improve your chances of finding the right home.
Be Flexible, Especially with Terms
Flexibility is crucial in a competitive market. Sellers may have specific preferences or timelines so being adaptable with your offer can make it more appealing. Consider aspects like closing dates, contingencies and any additional terms the seller might prioritise.
Be Prepared to Wait
Properties are often snapped up quickly and bidding wars can escalate fast. However it’s important to stay patient and focused on your long-term goals. Take the time to evaluate your options carefully and wait for the right opportunity. Use this time to keep an eye on market trends, monitor new listings and refine your search criteria. This is also a good opportunity to save more for a larger down payment.
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Disclaimer: The opinions posted within this blog are those of the writer and do not necessarily reflect the views of Better Homes and Gardens® Real Estate, others employed by Better Homes and Gardens® Real Estate or the organisations with which the network is affiliated. The author takes full responsibility for his opinions and does not hold Better Homes and Gardens® Real Estate or any third party responsible for anything in the posted content. The author freely admits that his views may not be the same as those of his colleagues, or third parties associated with the Better Homes and Gardens® Real Estate network.