Hopefully, if you have been looking at homes, it means that you at least have an idea of what you can afford, in order to avoid the disappointment that you would face if you find the "perfect home" that turns out to be too far out of your price range. It should not be a purchase that stretches your budget, or you could find yourself in trouble, or at least under unnecessary stress. Many realtors, including myself, can recommend lenders that you can contact before you begin this process. They will give you a breakdown of your credit, and if it is on the lower side, how to improve it over the next couple of months to possibly be able to afford a larger loan amount and give you other advice regarding the mortgage and loan process. These lenders can also pre-approve you for a certain amount based on your credit score, although this is a very general document and not to be confused for a loan commitment, it gives you the basis of what range of homes you should be looking at in your home search. The pre-approval serves as a notice to the seller's that you are serious about buying their home. Place yourself in the seller's shoes: would you accept the offer that has a pre-approved buyer, who just needs to get a loan commitment through their lender, or the buyer that still needs to discuss these matters with a lender and get pre-approved- meaning the lender could come back and say that they are not even pre-approved for the amount of the home? Logically, every one would choose the buyer who has taken the steps necessary to legitimize their interest in your home.
In this real estate climate, extremely low-bids will warrant a cold shoulder from most sellers, as they can assume that the likelihood of another buyer, willing to offer more, is high. A low offer may offend seller's, leading them to leave the offer hanging, without responding. In many cases, the seller's are receiving multiple offers on their home's within a few days and are able to choose which one to accept. There is a chance of an offer being too high which could cause issues with the appraisal later on. However, a frequent outcome from the multiple offer situation is that the home sells for more than the asking price. Therefore, it is important to know your budget and look within or even under budget, in case you end up in a multiple offer situation.
Everyone wants the "perfect home", but realistically, especially in this market, it doesn't exist and you will have to go in with an open mind and create your own vision of how the house you "like" could potentially be the home you "love" once you make it your own. Buyer's with high expectations can get burnt out from the home search as they continue to be disappointed by homes that don't have everything that they want or need. Overlooking the paint color, out-dated wallpaper, green carpet, or red kitchen cabinets may allow you to see the great qualities of a home, such as it's open floor plan, spacious living room, vaulted ceilings, charming woodwork, or the functionality of the home that meets all of your needs. The foundations of finding the right home include locating a neighborhood that you see yourself living in, thriving in, and enjoying. Once you know your area, then find a home with a solid setting and foundation. Although painting, removing wallpaper, and replacing carpet can be a daunting task, it allows you to start fresh and choose what you want your home to look like! (Think of the positive!) The more you ask for in a multiple offer situation, the less appealing your offer is to the seller, so if you really love the home, you may have to let some of the distasteful, surface qualities of the home go.
When you find the home that really speaks to your heart, don't sit on it, contact your realtor to make an offer on it as soon as you believe this could be the one. It may be gone if you dwell on whether you are certain about it or not, but on another note, don't rush to make an offer on a home that you think is just"OK" if nothing about it stands out to you. More homes are bound to be put on the market. Knowing yourself and what you want and need in a home is a key factor in making the decision on which home you will make an offer on. Your next move once you find the right home, is to contact your realtor who will research the recent sales prices of comparable homes in that neighborhood and area. With this knowledge, your realtor can help you make an offer that will not be too low, but will be competitive for what the market calls for in that location. It can be tricky if your heart is set on a home that has multiple offers on it, since you are unaware of the other offers on the table; at a certain point, the listing agent will most likely call for best and highest offer where everyone will put their top dollar in that they are willing to spend on the property. Try to not get too attached to a home in this case, although I know that is next to impossible once you have envisioned yourself living there which is usually why you were willing to make an offer on the home in the first place. If your offer is not accepted, keep your head up and don't let your hope dwindle... be ready to move on!
Along with that, be ready to move...and soon! Most offer's are calling for closing 30 days after acceptance, it is in your best interest as a buyer to have a flexible moving schedule so that you can move on the seller's timeline. It is always helpful to have a plan B if the seller asks for more time before closing/possession, such as finding temporary housing if you are in a lease and it expires before the move-in date whether you have to bunk with friends/relatives or pay for one month beyond your lease terms.
In a seller's market, it is not impossible to find the home that suits you and all of your needs, but remember to be patient if you aren't having any luck, make sure you have a realtor that communicates readily with you, keep an open mind to homes that may not be 100% what you want, be ready to make a quick decision when you find THE home, and be flexible with your timeline!
If you are not currently working with an agent, but are actively looking at homes in Columbus or in the surrounding areas (such as Westerville, Gahanna, Blacklick, New Albany, etc.) feel free to contact me today! I will gladly answer any questions you may have about buying or selling your home in the current market.
In this real estate climate, extremely low-bids will warrant a cold shoulder from most sellers, as they can assume that the likelihood of another buyer, willing to offer more, is high. A low offer may offend seller's, leading them to leave the offer hanging, without responding. In many cases, the seller's are receiving multiple offers on their home's within a few days and are able to choose which one to accept. There is a chance of an offer being too high which could cause issues with the appraisal later on. However, a frequent outcome from the multiple offer situation is that the home sells for more than the asking price. Therefore, it is important to know your budget and look within or even under budget, in case you end up in a multiple offer situation.Everyone wants the "perfect home", but realistically, especially in this market, it doesn't exist and you will have to go in with an open mind and create your own vision of how the house you "like" could potentially be the home you "love" once you make it your own. Buyer's with high expectations can get burnt out from the home search as they continue to be disappointed by homes that don't have everything that they want or need. Overlooking the paint color, out-dated wallpaper, green carpet, or red kitchen cabinets may allow you to see the great qualities of a home, such as it's open floor plan, spacious living room, vaulted ceilings, charming woodwork, or the functionality of the home that meets all of your needs. The foundations of finding the right home include locating a neighborhood that you see yourself living in, thriving in, and enjoying. Once you know your area, then find a home with a solid setting and foundation. Although painting, removing wallpaper, and replacing carpet can be a daunting task, it allows you to start fresh and choose what you want your home to look like! (Think of the positive!) The more you ask for in a multiple offer situation, the less appealing your offer is to the seller, so if you really love the home, you may have to let some of the distasteful, surface qualities of the home go.
When you find the home that really speaks to your heart, don't sit on it, contact your realtor to make an offer on it as soon as you believe this could be the one. It may be gone if you dwell on whether you are certain about it or not, but on another note, don't rush to make an offer on a home that you think is just"OK" if nothing about it stands out to you. More homes are bound to be put on the market. Knowing yourself and what you want and need in a home is a key factor in making the decision on which home you will make an offer on. Your next move once you find the right home, is to contact your realtor who will research the recent sales prices of comparable homes in that neighborhood and area. With this knowledge, your realtor can help you make an offer that will not be too low, but will be competitive for what the market calls for in that location. It can be tricky if your heart is set on a home that has multiple offers on it, since you are unaware of the other offers on the table; at a certain point, the listing agent will most likely call for best and highest offer where everyone will put their top dollar in that they are willing to spend on the property. Try to not get too attached to a home in this case, although I know that is next to impossible once you have envisioned yourself living there which is usually why you were willing to make an offer on the home in the first place. If your offer is not accepted, keep your head up and don't let your hope dwindle... be ready to move on!
Along with that, be ready to move...and soon! Most offer's are calling for closing 30 days after acceptance, it is in your best interest as a buyer to have a flexible moving schedule so that you can move on the seller's timeline. It is always helpful to have a plan B if the seller asks for more time before closing/possession, such as finding temporary housing if you are in a lease and it expires before the move-in date whether you have to bunk with friends/relatives or pay for one month beyond your lease terms.In a seller's market, it is not impossible to find the home that suits you and all of your needs, but remember to be patient if you aren't having any luck, make sure you have a realtor that communicates readily with you, keep an open mind to homes that may not be 100% what you want, be ready to make a quick decision when you find THE home, and be flexible with your timeline!
If you are not currently working with an agent, but are actively looking at homes in Columbus or in the surrounding areas (such as Westerville, Gahanna, Blacklick, New Albany, etc.) feel free to contact me today! I will gladly answer any questions you may have about buying or selling your home in the current market.
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