It’s always a nice problem to have: Selling your Windsor property quickly! What’s not so great? When you don’t have any place else to go because you figured it your house wouldn’t sell so fast.
Let’s say you are Client A. Your home is listed and priced very reasonably but you know of several properties in your neighbourhood that have been sitting on the market for some time, so you assume you can take your time looking for another home. It’s a surprise then when your agent calls you with not one, but two offers within 10 days. The next thing you need to do, after picking yourself up off the floor, is to find a new home and as quickly as possible!
The housing market has changed in the past year. As we all know, the last eight years have been dismal for homeowners, but in the past year, we have noticed improvement. Homes are selling and the housing inventory is lower. Why?
1. Bank foreclosures are down.
2. Homeowners feel more confident about the economy, secure about their employment and feel confident in making their house payments.
3. Investors are buying up properties, including those that want to flip homes. They are also turning their single family homes into rentals due to higher rent prices.
A few years ago buyers could have their choice of any home they wanted at a rock bottom price, today, the housing market is different.
So how can a home seller find a home quickly if their house sells faster than anticipated?
1. Get pre-approved. Even before you start looking at a home, or putting your home on the market, get pre-approved for a loan. This is important because home sellers will often select a buyer who offers less on their property, but is pre-approved. This piece of paper speaks volumes to home sellers and can get you the keys to your new home faster than anything else.
2. Be prepared to offer more and over the asking price if there are other multiple offers.
3. Work very closely with an experienced, full-time and professional real estate agent. Now is not the time to hire a new agent, with little contacts or referrals. You want an agent that hears about properties going on the market before any other buyer does. Choosing an agent that is a neighbourhood specialist is a sure bet that you will get the inside tract on any home that may be for sale in the near future.
4. Be ready to make some compromises: If you find a home, keep in mind that you may have to make some concessions. For example, ignore a bad paint job or a home that has dated wallpaper. These can all be fixed. Same with a home that has less than appealing landscaping or is not particularly clean. Again, these are improvements that can easily be changed. Keep an open mind with every property and look at its potential rather than its shortcomings.
5. But don’t compromise on important issues: When looking for a home that you need to purchase quickly, don’t settle on certain issues, just because you feel pressure to buy a home. Don’t ignore the location of a home. If you find a property you like, but the location is less than ideal, then keep looking. If you are considering making an offer on a home “as is” and forgoing an inspection, then think twice. Costly home repairs, such as crumbling foundations, can literally wipe a person out financially. If you can’t afford to make the repairs, then you are sitting on a piece of worthless property. And don’t make an offer on a home if it is out of your price range. The stress this can cause is simply not worth it. While you may think it is manageable to stretch your budget, ask yourself if you can handle any financial emergency should it happen. When buying a home, always be prepared for the unexpected.
6. When you find a house that you want to make an offer on, do it and don’t wait! Homes are moving more quickly these days, so once you are certain you want to purchase a particular home, act fast. For many agents today, they are finding that when they call to confirm a house showing, the property has already been sold. This is good news for sellers, but not so great for buyers.
7. Make your first offer, your best offer. Don’t try to lowball right off the bat, if a home is priced right. You have a good chance of seeing your offer flat-out rejected.