In spite of the ups and downs that are happening in housing markets across the nation, Philadelphia continues to experience a strong seller's market with the city's home sales and values climbing even as they fell across the United States. What this means is that there are often more home buyers than homes on the market because the inventory of available home is low.
Buying a Home in a Seller's Market
If you're in the market to buy a home in Philly or its suburbs this year, it's likely that the process will be a challenge simply because there aren't enough homes on the market to quell the demand. There are some things you can do to tip the scales in your favor though.
1. Get a Real Estate Agent
Sure, scouting the internet and social media while simultaneously pumping your friends and coworkers for any information about homes for sale is a good starting point but it's only going to get you so far. Even the savviest home buyer won't have the resources, knowledge and networking skills that a real estate agent has. Enlisting in the services of this professional puts you in a better buying position.
2. Make Sure Your Finances Are in Order
While many consumers think this means getting preapproved for mortgage financing or providing proof of ample funds, you actually need to start well before that process. At least a few months before you want to start actively looking for a home, get a copy of your credit report from the three credit reporting companies. Carefully comb over it, searching for mistakes and any blemishes. Take steps to improve your credit score, if necessary.
3. Act Quickly
A highly-desirable home in good repair and situated in an excellent location could be sold within hours of being listed so it's important to act quickly. Here's where your real estate agent can really help. There could be cases where they are aware of a home coming on the market that could be a good fit for you. Having the heads up might make the difference between getting the home of your dreams and having it snapped up by someone quicker.
4. Make an Attractive Offer
In order to stand out from the home buying crowd, consider using different techniques. For example, you could offer to put down a larger deposit. This signals to the seller that you're serious about the purchase. Another way to indicate that your interest level is high while also trying to make the selling process easier is to be flexible with the closing date in order to better accommodate the seller's schedule. You could also agree to be flexible on some terms that help make their transition easier in other ways. Instead of requiring that they remove a swing set that they don't want to take, allow the seller to leave it behind.
While none of the above tips is a guarantee that you'll close on the house of your dreams in a seller's market, they do signal your sincerity and serious about the situation. It could be one of these techniques that tips the balance in your favor if the homeowner is contemplating more than one purchase offer.
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