Diablo Gazette Oct 2023

Buyers, Is It Your Time?

Here we go into Fall. The last quarter of the year has begun with a bonus in that the Feds did not raise the interest rates this last go around. In fact, mortgage rates are down a smidgeon, making the mortgage payment a bit more palatable.

For buyers, it might be the time you have been waiting for. There is still a shortage of homes on the market, and the good ones, if priced right, still sell fast, but not always with multiple offers. What does that mean?

It means there are fewer buyers, so your chance to get a home is better than it was earlier in the year. If you are quick and preapproved, with funds verifiable in the bank, you might just score a property before the end of the year.

That was a lot of “ifs,” but sincerely these are all things you should have in place before you even look for a home. This means that if you find “the one” when you may not be expecting it, (it happens all the time), you will be ready.

Being ready with all of your ducks in a row is often the winning bid. It adds confidence to the seller’s (and their agent) decision as to which offer to choose, or whether they should sign an offer, and not wait for another.

The winning buyer strategy for this market is to get preapproved (not just prequalified.) And if you have been preapproved, update your lender monthly with the most recent bank statements, and paystubs.

Case in point, I represented two different buyers this past month, because we were ready, and acted quickly, we beat someone else to the offer table. They each made good offers, to which the sellers accepted as the only offers. In both cases, the buyer obtained a lower purchase price and/or credits for closing costs. Had either had a second bidder, the price would have been higher, or no credits given.

So, once you decide that you like a home, do not waste any time waiting to see what someone else does. Make your offer. Allowing time for a second bidder on any transaction costs buyers more money in terms of the purchase price or in concessions.

However, if you are not the only bidder, because the dream house is often everyone’s dream house, there are strategies for that too. Be sure to find an agent who is versed on how sellers think and how buyers bid, so that you can strategize your offer to your best advantage.