There are pros and cons to every market.
The biggest pro for buyers right now is low interest rates give you more buying power.
The biggest con?
With low inventory, competition is fierce.
With many Connecticut sellers receiving multiple offers, buyers must be prepared to act fast and work to make their offer stand out.
Here are 5 tips to make sure your offer is competitive:
Be Prepared to Make Fast Decisions
If you are serious about buying a home in today’s market, you don’t have the luxury of waiting to put an offer in. Having a mortgage lender and a buyer’s agent before you start looking at homes speeds up the process immensely. That way, once you find a property you love, you have support from professionals who can help you take action.
Keep Things Simple
Contingency clauses are conditions that must be met for a contract to become binding. For example, if you need to sell your current home to close on a new home, you can include that as a contingency. However, this may be unappealing to sellers who are ready to move. This doesn’t mean you shouldn’t protect yourself in the contract. Speak with your real estate agent about what contingencies are necessary and what can be left out.
Don’t Sweat the Small Stuff
Just about every property needs some work, whether you want to change the paint color or add on a new deck. When properties are moving quickly, it is not the time to be overly critical or try to get the seller to fix small items. If there are larger issues that come up in a home inspection, discuss the best course of action to take with your agent.
Adapt to Seller Needs
Stay flexible to what the seller needs. Sometimes a seller may need to move quickly, and you can agree to making the closing date as soon as possible. Other times they may need an extended period of time to move out. If you can adapt to their timeline, your offer becomes more appealing.
Increase Your Cash Spend
We’re not saying you need to make a cash purchase (though that is very enticing to sellers!). Analyze your budget and determine how much cash you can put for your down payment. If you can increase your down payment, it shows the seller you are serious about your offer, and eliminates doubt about your loan getting approved.
Preparation and flexibility are crucial to making an appealing offer. Of course, having the right professionals on your side makes the transaction much smoother. If you’re ready to buy this year, contact us to learn more about the process!