Tips for Buying in a Hot Market!

Although the property market has been impacted in many ways over the past few years, it has remained resilient and strong, making it an ideal time to start selling. The demand continues to elevate married with the low supply levels, causing pressure on prices to increase. The relationship between buyer demand and availability of properties will continue to cause increased prices. Housing values are 18.4% above the level seen a year ago, while the supply advertised is 30% below the five-year average.

With the high demand for the property market, buyers are feeling the pressure of the competition and many are just missing out on a successful purchase. That being said, it is not completely impossible for buyers to secure their own and there are ways to be successful in the hot market. Here are some tips that you, as a potential buyer, can take into consideration as they prepare to purchase properties in such a hot market.

Tip # 1 – Let the agent know you are interested

Starting a conversation and discussing your intentions with the agent can be more effective than you think. By creating a relationship and perhaps getting the opportunity to submit an offer, the agent will keep you informed of any new listings.

Tip # 2 – Put your best foot forward

It is very common these days for a property to receive multiple offers. In this scenario, the seller will receive as many offers as presented, but they will only be able to negotiate with one party at a time. As a buyer, you will need to put your best foot forward to really secure the property as you may not have the opportunity again to increase your offer and/or negotiate with the seller.

Tip # 3 – Keep it simple

When putting your best offer forward, it is ideal to keep it straightforward and simple by avoiding special conditions that aren’t necessary to make your offer as attractive as possible. From a seller’s perspective, an offer that will sell the property as quickly as possible.  

Tip # 4 – Strong deposit upon acceptance

This deposit is referring to the amount payable once the offer has been accepted which differs to the loan deposit. You have the option when writing up the offer to include a strong deposit amount on the contract which may help your offer appear more attractive to other offers that have a similar purchase price or conditions. 

 Tip # 5 – Time is of the essence

When there are multiple offers coming in, time is not on the buyers’ side. The longer you take to submit your offer or consider the sellers’ counter offer, you are giving other buyers an opportunity to add their offer into the mix for the sellers to consider. Note that sellers can retract their counter offer while it’s under consideration with one party to commence negotiations with another.

If you would like any further assistance in purchasing or selling your home in this hot property market, please give our sales agent

Melanie a call on 0417927361