Purchasing a home in a strong seller’s market -- when there are more buyers than there are properties to be sold -- can surely be a long process. It is easy to get fed up with putting in offer after offer, only to get denied because another buyer made a stronger deal.
Well, don’t fret- Kay Harris is here to help! Here’s how to score the house of your dreams in a very competitive market.
You don’t want to waste any time when buying a home, so it is always a good idea to contact Kay Harris first to get referred to a loan officer to get pre-approved for your mortgage loan before you even start looking at properties. Doing so only takes about 24 hours or less, and it ensures that you only tour properties you can actually afford. Plus, being pre-approved shows the seller that you’re serious about your offer.
Sometimes, it makes sense to put in an offer with some contingencies. But, this is not the case when you’re working with a strong seller’s market. You do not want to include things in your offer such as long inspection periods, receiving mortgage commitments, non-realty items, or closing costs. Sellers tend to want to get the process over as quickly as possible, and contingencies only slow it down. So, whatever nets the seller more money poses less of a hassle, the more competitive it will be.
An escalation clause is something you can add onto your offer as a way to hopefully make your offer the highest and last bid. Typically, these clauses state that if the seller receives an offer that is over your initial offer, you can bid over this offer up to a predetermined amount. For example, if you bid $120,000 for a home, but have an escalation clause of up to $160,000 for a home, you will keep out-bidding other prospective buyers until you reach your desired limit.
When you are buying a home in a competitive seller’s market, it is incredibly important to work with an Atlanta realtor you can trust. Kay Harris is an expert in the Atlanta real estate scene, and will not rest until you find your perfect home!
Call us today to get started.