There is no doubt about it, we are experiencing a seller’s market so far in 2021. In Nashville and nationwide, housing inventory is low, driving up competition and prices. As a buyer, how do you navigate such a competitive market? Buyers can still thrive in a seller’s market, especially with a little bit of prep work and guidance. If you’re currently looking to buy your first or next home, these simple steps will help set you up for home buying success.
Make a List of Needs vs. Wants
This is a helpful tip for homebuyers regardless of the current market. Heading into house hunting with a list of must-haves, alongside a list of desires, will help you better navigate expectations as you search. Knowing what you need versus what you hope for also helps your realtor find better options for you to pursue.
In a competitive market, by understanding where you are willing to compromise on home features, you are better prepared to make quick decisions. You are also prepared to navigate a bidding war if you know what features you are willing to pay for and which ones just aren’t necessary.
Have the Correct Paperwork
Getting pre-approved and having your paperwork in order means you and your agent can quickly make offers on a home you love. In a seller’s market like the one we’re experiencing this year, preparation is key. Your agent will help you determine what aspects of your paperwork and loan documents need to be ready in order to make a great offer. Sellers (and their agents) will be eager to know that your offer is viable and that you are, in fact, ready to move forward on purchasing their home.
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Be Ready to Make Quick Decisions
This is where your list of needs versus wants comes in handy. If you know exactly what you do and do not want in a home, it will be much easier to make a fast decision when the time comes. Homes sell quickly in Nashville and the surrounding area, even during seasons when home sales typically slow down. Be prepared to make an offer on a home you love as soon as you know it’s the right decision for you. In many cases, this can mean making an offer after a home tour or open house and getting your offer in front of the sellers as quickly as possible.
Consider Waiving Contingencies
Contingencies come in all shapes and sizes, but the most common include a home inspection contingency and a financing contingency. Instead of requesting more time to obtain financing, have your financing worked out in advance so you don’t have to request any contingencies from the seller. Other examples include requiring specific updates be made to the home prior to an agreement on the purchase price or even requesting the price be lowered due to updates you think need to be made. While it is important to be confident that you are getting a great home for a great price, some of these contingencies can cause a seller to consider another offer. By waiving a few of these requirements, you set yourself up as a competitive buyer ready to close the sale.
Be Prepared to Widen Your Home Search
When housing inventory is low like we are currently experiencing across the country, finding that perfect home can be challenging. The right home in the right neighborhood might not be available in the current market. If that is the case, by opening your search up to a wider range of home types, neighborhoods, or even suburbs, you may find that the perfect home is available—it’s just not where you thought your ideal location would be. Many home buyers who entertain the idea of living outside their initial area or neighborhood are pleasantly surprised to find a neighborhood they’d love to call home in a different part of town. Staying open to a wider home search could result in you finding the dream home you never knew you wanted.
Start Your Nashville Home Search
With low interest rates and fast-moving real estate, now is still a great time to begin looking for your next home. A little bit of forethought and preparation can go a long way in helping you thrive as a home buyer in a competitive market. Started in 2003, Connecthome has been serving families and individuals in the Nashville area for nearly 20 years. We provide our clients with expansive knowledge and expertise of the ever-changing real estate market in Music City, helping home buyers achieve their goal of finding the perfect home. Contact us today to get started on your home search.
