You’ve probably heard that the real estate market in Central Kentucky is HOT. We just don’t have enough homes for people who want to purchase. This lack of inventory means that the houses that do come on the market (assuming they are well-priced for location and condition) sell very quickly, often with multiple offers, particularly but not exclusively in the <$250,000 range. That low inventory perpetuates itself when homeowners are reluctant to put their current homes on the market without finding a new home first.
So if you’re a buyer in this sellers’ market, what do you do?
#1 – get prequalified
The real key to buying in a sellers’ market is to be ready to act quickly. It’s essential that you know how much house you can afford and have a lender on standby to give you a preapproval letter. In a multiple offer situation, sellers may not even consider offers that come in without a preapproval letter. Also, if you already own a home, your lender will be able to tell you whether any offer on a new home will need to be contingent on selling the first one. This can be critical, because sellers will almost always choose a non-contingent offer over a contingent offer if other terms are comparable.
#2 – get professional help
Do yourself a favor and start working with a Realtor now. Whether it’s me or one of my colleagues, a Realtor who is working FOR YOU THE BUYER is an invaluable resource. Of course, you can continue looking at Zillow or whatever sites you like to use. But your Realtor will not only know the market you’re in, we might know of homes that might be coming up. We’ll also be able to give you an idea of whether a particular home is priced right or not and help you craft a strategy to win in a multiple offer situation. If you have a house to sell, your Realtor will be able to tell you what your home might be worth and give you a heads up about what you need to do to sell quickly.
#3 – be flexible
If you can be flexible about what you’re looking for, you’ll obviously have more to choose from. If you can be flexible about your timing, you might win a multiple offer situation even with a same or even lower price offer because your timing works better for the sellers.
#4 – be patient
Houses do come on the market. You just need to be able to act quickly when you see one you like. If it’s a hot property, we need to see it immediately or we won’t have a chance.
#5 – consider building
More and more of my buyer clients are deciding to build rather than wait for the right resale home to come on the market. Your Realtor can help you find the right builder, lot and house plan for you and your budget.
Want to know more about multiple offers? Need a list of local lenders? Want to know how much your current home is worth? Call your Realtor if you have one, or call/text/email me if you’re not already working with someone (502) 316-5513 [email protected].
