Did you find that home you’ve been looking for? Is it everything you want and more? Chances are, you may not be the only one considering this dream home – so you might want to act on it sooner rather than later.
In researching the pulse of our local housing market this year and comparing that to where we were this time last year, I have found many indicators that show that Leon County is currently a healthy housing market. One of the statistics that stands out to me is the reduction in the number of days that homes are on the market before selling: 65 days in 2017 as opposed to only 58 days in 2018*. Another compelling fact is that the average sales price in Leon County has increased this year from where it was in 2017 at this time. Furthermore, sellers are receiving sales prices much closer to their listing prices in 2018 compared to what they were getting in 2017. These are all wonderful indicators that we are in a healthy housing market and it is still a great time to buy a home.
How does a healthy housing market affect you as a buyer and how can you use this information to your advantage?
It is important to understand that when seeking out the best deal or the most desirable neighborhood or the home with the fresh remodel job that it is inevitable other buyers are looking for those things too – and these ideal homes are selling quickly once they become available. This makes it important to act decisively in order to put yourself in the best position to secure a contract on that perfect property.
Here are a few good tips to help you be prepared and succeed in securing your dream home – even if you are not the only one in the running for it:
- Have your pre-qualification letter in hand before you begin your search. It’s important to confirm in advance the price range you are searching will result in the payment you want to yield and the closing costs associated with making the purchase are within your budget. (This will also help you demonstrate to the seller your ability to purchase when it comes time to present your offer!)
- Begin your home search on a reliable search engine and communicate your needs clearly with your Realtor. This will ensure you all are at the forefront of market availability and among the first to know when that perfect buy hits the market.
- Do not allow yourself to suffer paralysis by analysis. When you find a home that meets your needs, why wait to present your offer?
- Make sure you are able to provide adequate escrow deposit with your offer showing the seller that you are both serious and capable. Have those funds on hand so that if a deposit accompanying your offer is necessary, you’re prepared to write that check.
- Make sure you have firm understanding of your purchasing power so that you can go in strong and with confidence that your offering price is your best – and your payment will be affordable. All too often buyers come in low, assuming that there is time to negotiate, and end up losing the house they want to someone who presented the stronger offer the first time.
- Keep the terms of your offer clear and concise. Make sure you understand the personal property the seller is willing to include in the sale and any specific exclusions so they can be presented with your initial offer. Be sure to consider carefully the closing date and inspection terms that you are comfortable with, but would also appeal to the seller.
- Other methods have been used in multiple offer situations such as Escalation Clauses – but be sure to consult with your Realtor on this plan of action.While they can be beneficial, there are also down sides to using this tactic.
- Be available and prepared to sign or initial contract documents until the contract has been fully executed. It is likely that turn around time for acceptance, signatures, and initials will be short so keep an eye out for the paperwork so that you can lock down your dream home and don’t miss out by inadvertently letting a deadline lapse or missing an initial somewhere.
The key is knowing when and how to act when you find that perfect property. Once you have fully executed your contract, the real fun begins! Make sure you are well represented by a Realtor, who can walk you through each contractual milestone until you are able to celebrate your closing day.
I hope you find this information helpful! For more information or to experience our cutting-edge search engine, log on to www.NaumannGroup.com.
*Statistics were pulled from the Multiple Listing Service, which can be deemed reliable, but not guaranteed.
Source: Tallahassee Democrat