Be ready for the housing market this season with these tips and assessments from agents across the country. Overall, they agree that this spring will be competitive in the home-buying market, so preparation is key.

Tip #1

Get more hands-on.

In an era where using the virtual world for any and all resources is typical, it’s still very important to do the physical research. And during this season, where inventory will be tight in most major markets, the faster you can get to the actual property, the better chance you’ll have on cinching the deal. Demand quickly outgrows supply in the spring, so you should be ready to make quick decisions.

Also keep in mind that it’s crucial to see in person what shows up flat with poor lighting on screen. Images may not be lying per se, but they can’t convey the whole truth. The images are usually the perspective that the seller wants you to see, but you can get a feel for the whole picture when you tour the property yourself.

You can trust your local real estate agent to help you get to the properties as they’re listed. “You need to be able to see the new homes the day they list, so you can be the first to see the home and make a quick decision,” Seaton says. “First offers usually are successful offers.”

Tip #2

Know the market and spot the trends.

The better educated you are on your local market and it’s patterns, the better prepared you’ll be to recognize the right opportunity.

This is where using your real estate agent can help you out. We are one of the best resources available to you with our experience and inside information, along with our connections. We’re also aware of trends and can update you on how prices are affected. When looking for a new home, contact your agent to find out more about your local market.

Tip #3

Get a good mortgage rate while you can.

Right now, mortgage rates are attractive since they are lower than earlier years. So low, that monthly payments are currently lower than most rent rates; and they’re predicted to stay low through the spring.

The annual insurance premium required by the Federal Housing Authority — the organization that backs loans for borrowers who make low down payments — has also been lowered, from 1.35% to 0.85%, with an estimated savings of around $900 a year for homeowners. Now is the time to consider looking for a cheaper mortgage rate, before they begin to rise for summer real estate sales.

Tip #4

Get backup before you commit.

On top of your local real estate agent, you should have a couple of helpful people on your home team. Yocum suggests having a leader, inspector, and attorney at the ready. You should also get your ducks in a row: completing mortgage applications and determining loan amounts in advance. Some markets even require you have certain steps complete, such as San Francisco where clients must be pre-approved before they can submit an offer.

Some buyers take extra steps to ensure success, becoming fully approved prior to a purchase depending on their lender. The more well-known your lender, the better chance you have of convincing your seller that you are the right buyer. You can also draft the letter that you’d send to sellers, explaining why you want the house and what appeals to you. When you’ve found a potential home, you can then simply drop in the specifics to personalize the letter.

Tip #5

Don’t forget the added benefits.

To score the deal against other competitors, don’t be afraid to sweeten the pot. An escalation cause is an amount that you’d automatically be willing to pay above a competing bid, catching your seller’s attention. Forgoing contingency clauses in your contract, such as home inspection, appraisal, and financing contingencies, can also garner more interest from a seller. But consider these carefully, since they do come with a level of risk that may not appeal to all buyers. Smaller things, such as finding out when the seller wants to close and offering that in your contract or simply offering to close as quickly as possible and offering to accept rent payments, can also convince a seller to agree to your contract.

With all of these tips and tricks, the primary message here is to prepare so you’re ready when that dream home becomes available.

Article Citation: Jyoti, Christine Ryan. March 16, 2015. “5 insider tips on buying a home, courtesy of real estate pros.” The Week. Retrieved March 16, 2015 from: http://theweek.com/articles/544262/5-insider-tips-buying-home-courtesy-real-estate-pros.
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