So you’re ready to purchase your first home. Congratulations! However, after beginning your search you may find yourself wondering, where in the world are all the starter homes?
It’s a valid question to ask considering there is somewhat of a starter home shortage in many popular housing markets. Housing inventory is pretty low and that is making home prices soar. Not a great combination for first time homebuyers.
Not all hope is lost, however! Even though the market is extremely competitive, there are still a few things you can do that will put you ahead of the pack. Check out our tips below:
- Get Pre-Approved
Buying in today’s market is competitive so having a pre-approval letter will help you stand out as a serious buyer to sellers.
- Keep an Open Mind
Your first home may not necessarily be your dream home, and that’s OK! Many first time home buyers don’t plan on staying in their first homes forever; rather, they use the home as a financial launch pad for a bigger home in the future.
- Use a Real Estate Agent
There’s a lot to be said about using a professional. First time homebuyers really need help from someone who knows the area when dealing with competitive markets. A great agent will know how to negotiate and they can help you with realistic expectations.
- Understand Your Needs
Location is a big g factor for many buyers, and sometimes affordability has to be compromised when purchasing in a hot part of town. Alternatively, an affordable home in a less desirable location could leave you compromising on commutes to work or social life. Only you can decide what’s most important to you.
- Make a Good Offer
You’ve found an amazing home in a desirable location at a great price, now what? Well, if you found the perfect home, other potential buyers probably have their eye on it. With your pre-approval in hand, make a strong offer!