Tips for Buying a Home in a “Hot” Housing Market

If you are gearing up to purchase a home at the moment, perhaps the current state of the housing market is not what you would’ve considered ideal to find your dream home. In our post-pandemic world, the housing market has remained red-hot, and it can be a very competitive time to look for a home. However, there are some simple ways to stay prepared in the midst of this “seller’s market” season.

What Happened to the Market?

During the height of the pandemic, there was a fluctuation in demand for houses, and the housing market experienced an increase in business. As the presence of vaccination takes the edge off the pandemic, potential home buyers would hope that the housing market would experience the same decrease in action. However, the truth of the matter is that the housing market has remained incredibly competitive.

Plain and simple, there is an issue of supply and demand in the world of real estate at the moment. There are more people wanting to buy houses than there are houses to buy, which can make for a very competitive and at times frustrating home buying process. While it is a great time to sell your house, you may find yourself in a pickle when trying to turn around and purchase another home.

To keep yourself prepared and ready when heading into the process of finding a home to buy, keep these tips in mind.

Mortgage Pre-Qualification

An incredibly wise first step to buying a home in terms of financial intelligence is getting pre-qualified for your mortgage. Buying a house without financing is a rare occurrence, so if you know that you will need to have a mortgage on your house, make sure to get all your ducks in a row before actually finding your house.

This process is empowering for several reasons. For example, you will know for certain what your budget is before looking for your house. This process will let you know how much you qualify to borrow based on your financial stance and credit score, which will in turn help you calculate how much you might be able to spend as well as what your monthly payment may be.

When you get pre-qualified, make sure to get a pre-qualification letter. This is crucial in the midst of a hot housing market because most sellers might not even consider an offer on a house without a pre-qualification letter. This process of getting pre-qualified can also help you understand what you might need to do to help your circumstances: work on your credit score, increase your down payment, etc.

Make a Strong Offer with an Offer Letter

Chances are when you find your perfect home, many others may also consider this their perfect home. It is important to strategically place your offer on a house so that it stands out among the rest. Whether it’s offering higher than you anticipate others doing, offering for the seller to choose the closing date, or making a bigger down payment, these tactics can help your offer appear more ideal.

Another strategy to enhance your chances of closing includes attaching an offer letter to your offer, explaining to the seller why you would be the ideal candidate for the home. Packing this letter with honesty and emotion can help sway a seller’s mind when choosing who to sell to.

Get a Good Realtor

The good news when dealing with a competitive housing market is that there are experts out there whose whole job is to guide you through the process of buying a home: realtors. Realtors understand the housing market far better than the average home buyer can, and they are prepared for times when the housing market doesn’t seem to let up.

Getting a good realtor to help you through this process is absolutely vital to finding your perfect home as efficiently as possible. When buying a home in the Auburn-Opelika area, there are no experts better than The Talons Group. Our realtors are full of knowledge and crucial connections in the area and will assist you every step of the way when purchasing a home.

The Talons Group wants to partner with you in your home buying process and is well-versed in the chaos that is a hot housing market. You can rest assured that our top-notch realtors will not stop until we find your perfect home. Contact us today to discuss working together on your purchasing endeavors.