Buying a home in a seller’s market requires the support of an experienced real estate agent. This is the only way to ensure you purchase a new home at a price that makes sense for its location, condition, and available features.
Buying a Home? 5 Solid Reasons to Use an Agent
Your agent protects you from some of the most common mistakes buyers (or inexperienced agents) make in a seller’s market.
1. Bidding too high out of fear
A seller’s market can feel intimidating, especially if you see loads of people making their way through your dream home’s open houses -or when other buyers are looking at a home when you arrive to meet your agent. Knowing others are interested or feeling like you need to offer high to land the deal leads buyers to make unreasonable and unnecessarily high offers.
If you don’t use an agent, or your agent is inexperienced, there is a high chance you’ll overbid. And with interest rates on the rise, the reality is that every thousand extra matters when obtaining a mortgage payment you can responsibly afford.
Your agent is there to help you make an offer that honors the house’s current market value but doesn’t leave you spending thousands of unnecessary extra dollars.
2. Get all of your transactional ducks in a row
Typically a seller’s market means decent homes have multiple offers. In addition to wanting the highest possible price, most sellers are also interested in a fast escrow closing. Any hangups in the lender or financing department can put you at risk of losing the deal.
The buyer and seller agree upon the mortgage contingency period, and that mandate is part of the initial purchase contract. These days, most sellers prefer escrow to close in 30 days or less. If a lender still hasn’t signed off by that point, or underwriters kick documents back or request further proof of your financial solvency beyond that date, sellers have the right to accept other offers.
If you’ve hired the right real estate agent, they’ll ensure all of your transactional ducks are in a row – including a solid loan pre-approval. They’ll also advise you on what to do – and what not to do – between making the offer and finalizing the loan.
3. Connections with trusted lenders & other industry professionals
The real estate agent network extends beyond agents to licensed professionals in other areas. For example, if you’re a first-time homebuyer, we can connect you with the area’s best mortgage brokers. Your broker is an essential piece of the puzzle when buying a home.
Just as your real estate agent works on your behalf to ensure you get the most home for your budget, brokers use their experience and networking to get you a mortgage with the most secure lenders – and at the best interest rates. This connection can save you thousands – or tens of thousands – of dollars throughout the home loan’s lifetime.
If you’re purchasing an older home, we’ll make sure the home is inspected by the best building inspectors we know. If your future home needs work, we can make referrals to licensed and experienced contractors to support you after the sale is final.
4. The potential for “pocket listings” or off-market sales
Experienced real estate agents have been at this for a long time, and we are familiar with one another. As a result, there are times when sellers aren’t interested in hosting open houses or in a parade of people coming through their homes. These sellers work with an agent and request “pocket listings” or off-market sales.
Pocket sales mean that the house goes up for sale, but it’s not listed on MLS. Instead, the seller’s agent utilizes their experienced agent network and shares the sales information with industry professionals. The hope is that the house meets the criteria for another agent’s buyers (you!), so you can make a smart offer and close a deal without any competition.
Without using an agent, buyers have no way to know what is being bought or sold via pocket listings and off-market sales transactions.
5. Avoid potential legal snafus
Experienced real estate agents know the ins and outs of real estate law in your area. Beyond that, they’re licensed and insured. Therefore, completing real estate transactions with an agent on your side eliminates any risk of potential legal issues.
Buying a Home in Volusia County? Meet Southern Exclusive Realty
Are you planning on buying a home in Volusia County? Now’s the time to do it before interest rates skyrocket. The experienced team of Realtors at Southern Exclusive Realty has completed real estate deals for hundreds of satisfied clients. Give us a call to set up an appointment at 386-279-7244. Let us get you into your dream home!
