The housing market goes back and forth between a seller's and a buyer's market. When the market has shifted toward a buyers' market, there is a lot less you have to worry about. However, when you are a buyer shopping in a seller's market, the process can seem a little more hectic. In this type of market, having a realtor on your team is especially important.
The Basis of a Seller's Market
A sellers' market is a buying scenario in which the seller has the upper hand. Sellers' markets occur when there is a shortage of inventory, factors that attract more buyers — such as low-interest rates — or even a new heightened interest in the specific area or neighborhood.
Whatever the case, the seller is likely less motivated to meet the demands of the buyer because they can all but guarantee that there will be another buyer lined up right away.
Only top-tier offers are considered in a seller's market. Without a realtor, it is often hard to fit this description. Putting in an offer is a complex and important process, so it should be handled by a professional.
Certain facts must be included in the offer, such as your pre-approval status, what you bring to the table, and any contingencies you want as part of the transaction. If you submit an offer with too little information, your offer could be denied. Since a seller's market often means there are plenty of buyers, you may miss out on your dream home.
Getting Your Fair Share
Whether it is a request for a lower price or a request for new carpeting or another repair, sellers in this type of market are not in a position to do anything. However, being less motivated does not mean that it is not possible. It just takes skill to get the seller on your side.
Remember, realtors are sales agents, and they can often use their skills to sell a buyer on their client. If the realtor can sell the buyer on you because of your ability to close faster because you are preapproved, or because you do not need closing assistance, you may be able to get what you want from the deal.
If you are in the market for a home and you are in the midst of a seller's market, make sure you have someone on your team to guide you. Contact a real estate agent for information about new homes.Share