By Karen Tyrrell
By now you’ve most certainly heard about the “super-hot housing market”. With historically low-interest rates, folks fleeing cities for more suburban settings, and low inventories of homes, properties are moving very quickly – especially here in Florida! Many employees have been given the choice and even forced in some cases to work from home. With the realization that they can essentially work from anywhere, they’re choosing to escape to warmer, less crowded and more affordable settings. And honestly, who can blame them?
A Seller’s Market Means Buyers Need to Be Prepared and Aggressive
With less than 3 months of home sales the Jacksonville real estate market is decidedly a seller’s market. Unfortunately, so often in these Seller’s Markets, buyers are coming up short and losing out on contracts. This can be exceptionally frustrating especially when they’re moving to a new area and often having to buy sight unseen.
But here are some tips you can use (along with the advice of your own knowledgeable agent – preferably me) to avoid the heartbreak of watching someone else move into your dream home!
1. Get pre-approved
Get pre-approved with a reputable lender. Have your credit in order and your pre-approval letter at the ready.
2. Go cash if you can
Cash offers are safer bets for sellers with no fear of failed loan approvals (this does happen) or appraisal contingencies when there are no good comparables. If you get into a multiple offer situation and can switch to cash, consider it. You need to have proof of funds ready to provide when you make your offer.
3. Avoid contingencies
Sellers tend not to like contingencies particularly home sale contingencies, so if you have a home to sell make sure it’s on the market (if not already under contract), priced to sell quickly, and has great marketing and exposure by an experienced agent. Additionally, if you really want the home, you may need to flex on other contingencies. We are seeing AS-IS sales, loans without financing contingencies, and removal of any appraisal contingencies.
4. Be ready to make a competitive offer
Can you tighten timelines? Can you offer a strong Earnest Money Deposit? In the under $500,000 market, you may need to offer above asking price if necessary when dealing with a multiple offer scenario.
5. Stay on task
If you’re already under contract on the home you’re selling, be certain your buyer is strong. This will require staying in touch with your buyer’s agent and lender so nothing falls through the cracks.
6. Be flexible with a quick close
Clarify when you’re making an offer that the seller’s closing needs are in line with yours. To tip the scales, you might consider a quick close and then offer them a Post Occupancy Agreement if they need more time to vacate the property.
If you have any questions about the current market or homes you’ve seen on our site, please contact me at your convenience!
About the Author:
Karen Tyrrell is a real estate agent with The Volen Group. She is a top buyer’s agent with numerous experiences in multiple offers. Her areas of expertise are Nocatee and beach communities.