There’s one phrase which strikes fear into the heart of a potential homebuyer – “seller’s market.” A seller’s market is created when there are more homebuyers than inventory from which to choose. The anxiety this causes many potential buyers causes them to write offers on anything and everything, just to hedge their bets on having one accepted.
But it’s important to slow down and consider the purchase carefully. Is the home truly the right fit? If the pace wasn’t so frantic and the pressure to decide so strong, would you normally buy a home that backs to a busy road? Would you consider a property with power lines blocking the view or seek a property in need of serious repairs?
It may feel like the sellers are holding all the cards in this crazy real estate market. Even homes that would normally be considered fixer-upper properties are asking, and getting, top dollar. But buying and owning a home is a major financial investment in your future. Buying the wrong property could put a serious burden on your finances for years to come. Not only might the home repairs and upgrades cost thousands of dollars, but once a normal market reasserts itself, the home could lose value, forcing you to sell at a loss should you need to move.
Homebuyers don’t buy just any home. If you wouldn’t consider the home in a buyer’s market, you shouldn’t rush into it.