30 Jul, 2021
If you are one of the many home buyers you have experienced the “sellers market”. This is when there are more buyers and fewer homes in the marketplace and it creates a HIGH demand for most homes for sale. Those of you in the market know this can be very frustrating. How was the sellers market created? As I said in my last blog, this was caused by the unusually low interest rates we experienced a few years ago when the Federal Reserve was buying mortgage backed securities. It was necessary to save the US economy and housing market with this action, however, we are now seeing the consequences of that move. Families that have a low interest rate in the 3’s are not just moving to move and buy a new home as the rates have moved up almost 1.5% or higher depending on their down payment and their credit score. Bank foreclosures have decreased. Banks had an unusually large inventory due to mortgage foreclosures between 2006 – 2012 and they have now sold them off. Dirt, yes, dirt. We are not creating more dirt, so new construction is limited to where there are open lots. Yes this area is growing faster than any other market, but usually you pay a premium for a lot that is in a populated area or you have to move a little further away from the areas you like as we cannot create new dirt. How can I buy a home in this market? First of all, RELAX. We cannot control the market conditions. You will always find a home that you are able to buy and reach your goals of home ownership. You will be able to benefit from appreciation and enjoy the lifestyle that homeownership offers. Here are some tips to help you in a sellers market. Work With A Good Realtor Look at our website and see the agents we recommend! Having a Realtor that is looking out for your best interests will give you an edge. Realtors are constantly networking with other agents and they will know about homes that are coming on the market BEFORE they are on the market. If one of these homes fits your needs, you will have a better chance at making a competitive offer BEFORE the home is eligible for other home buyers. Check Our Website For Homes Coming To The Market The Scott Miller Team at Nations Lending markets with many of the top agents in the Twin Cities area and we have asked them to put the homes they will be listing soon. Usually our Realtors will meet with potential sellers and make suggestions to the seller on how to make the home “show” well in the marketplace. Our agents have put these on the website under homes coming to the market. Reach out to us for an introduction to those agents with those houses coming soon as the seller may decide to sell to you before they have to list the home and have strangers walking thru their home day and night and weekends. It could be a win-win for everybody. Get Pre-Approved Call The Scott Miller Team at Nations Lending at 612-751-7268 and get preapproved or go to our website and click on our secure link When you do make an offer you want it to be as strong as possible. Not only will we clearly explain all your options to you we will call the listing agent when you make an offer (without sharing your personal financial info) we will talk about what a strong buyer you are and let them know the loan will close, on time and the sellers have nothing to worry about by accepting your offer. The Scott Miller Team at Nations Lending has 2 full time loan officers that are available all day every day, so we will make that call when you are buying your home whenever it is best for you. Take advantage of our service and experience and put it to work for you. Be Prepared To Move Quickly Work with your Realtor on the areas you are looking at so when a home becomes available you are able to move quickly. Ask your agent what do you need to do to make yourself the best buyer and improve the chances of your offer being accepted. Be Prepared After meeting with The Scott Miller Team at Nations Lending and clearly understanding the best loan options that work for you financially and working with one of our Recommended Realtors, this teamwork will put you in the best position to purchase a home and successfully get your offer accepted! Then sit back and enjoy your new home!