Many areas are experiencing extreme seller’s markets right now and Alexandria is no exception.
How can you prepare as a buyer who is looking for a home in a seller’s market?
The market is moving very quickly and when you find the home you want to make an offer on you need to act quickly. If you have to wait one to two days to make an offer because you’re waiting for a pre-approval you risk the house going under contract. Sellers are not going to consider an offer that doesn’t have documentation included showing that you qualify to buy their home.
Be Prepared For Competition
In a seller’s market it can be a good idea to focus on homes that are slightly below what you want to spend. Multiple offers equate to homes being sold for above list price and by looking slightly below your budget you leave yourself room to be competitive if you want to offer above list price to appeal to sellers.
Go with your instincts when you find the right home don’t delay in making an offer, especially if it’s a new listing and getting a lot of traffic. Homes that show well, are priced correctly, and easy to show are moving in a matter of days. In the current market conditions not acting quickly when you know it’s the right home can mean you never get a chance to make an offer.
A seller’s market is not the time to test the negotiation waters. This will vary for each home and you should consult with your agent on offer terms. If the home has only been on the market a couple days or if you know there are multiple offers always put your best foot forward when making your offer. You might not get another chance to improve it and want to have the best shot at the sellers selecting your offer to work with.
Use A Professional
You need a buyer’s agent to represent you and your interests. The sellers have a listing agent working on their behalf and exclusively representing them. You need the same! An experienced agent will advise you on market conditions, gauge activity on a home to guide you on an offer, negotiate, and be an advocate for your best interests throughout the entire home buying process.
The current market conditions can be tough on buyers but, with the right representation and planning ahead you will be successful in your home purchase. Reach out to us if you have questions about the Alexandria real estate market! We are always happy to answer questions and would be happy to setup a complimentary home buyer consultation with you.