If you are in the market to buy a house, I’m sure the biggest thing on your mind is money. Everyone wants a good deal on their dream house and I am going to walk you through three steps to help you get it! Buying a house is more than a place to live. A house should be viewed as an investment.
One of the keys to getting a good deal on a house is simply being in the right place at the right time. Another major key is being ready to go through with the purchase when this actually happens. If you want to know how to get a good deal on a house, you must be ready to go and see something immediately. If not someone else is going to be steps ahead of you. Staying on top of the listing searches is super important. Sure, this may sound like a waiting game, but with the knowledge of what you want and patience to wait for it, you will eventually find what you are looking for.
Something else to look for in the market when buying a home is this: time a property has been on the market. A lot of sellers initially put their property on the market for more than it is actually worth, simply because they believe their property is worth more than it is. Remember this: the longer a property is on the market the more negotiable the price becomes. No buyer wants to buy the house that nobody else already bought. Buyers are more skeptical of the pricing of a house that has more than 30 days of market time. Also, as more time goes on the seller of the home gets more anxious to sell making them more open to negotiations.
The more prepared and informed you are the quicker you will be able to act. When good deals become available you need to be round to “pounce.” Other buyers will notice the good deal as well and you want to beat them to it. This means have your pre-approval or proof of funds ready to go, review the contract of sale with your Realtor in advance so you’re not under pressure when it comes time to make an offer. Also, use the MLS not Zillow for your search. Zillow can be 24-48 hours behind the MLS and that may be the difference of locking up a good deal!
To this this smoothly, you can only act quickly if you know what you’re looking for. Everyone thinks a good deal means the best price. But a good deal can be so many other factors… Such as the right location, right condition, the best rental income, or property with 100% financing. What a good deal is to you, might be different then it is for someone else. Make sure this is super clear not only to you but your real estate agent.
Have a backup option- If you have more than one property you can buy, it gives you more leverage in a negotiation. It also allows you to “walk away” if you don’t get the deal you’re looking for.
Know the market- In order to get a good deal you know to know all of the market trends. If you don’t, that’s ok, just make sure your agent is a market expert.
Don’t negotiate- We find our buyers have much more success making “take it or leave it” offers. When you leave the offer up for negotiation you never truly know the sellers bottom line.
Pay attention to price changes- when a property’s price is recently reduced, it might be a sign that the seller is motivated to sell.
Lastly, and probably the most important of them all, is you must have a good real estate agent. You need a real estate agent with experience so you can be assured that you are making a wise investment decision. Think about it. Agents who have been in business longer than others are more than likely going to be better advisors. Having a good real estate agent means that they know their values inside and out and should be able to immediately tell you if the house you are buying is a good investment or not. You should feel confident in this person helping you with the home buying process from start to finish, if this isn’t how you feel, then you are with the wrong agent.