A purchaser’s guide to buying in a seller’s market

The Real Estate Market in Fernie has been a BUSY one since July 2020, and now more than ever we are seeing that demand with more and more listings. With your home being one of the biggest purchases you will likely ever make, it is still important to be careful, despite the added pressure of competing offers, and heightened interest.

You might be asking yourself how to properly navigate this. With so much to consider, there’s the potential to develop analysis paralysis whn it comes to making any actual decisions.

Take a look at a few of our tips to help you get through this intense time!

1) When you see THE property – don’t wait too long to make an offer. 

If it ticks off most of the boxes, you need to ensure that you are prepared to make an offer as quickly as possible. If you are still weighing out pros and cons and if it’s a good time to buy, then entering into a seller’s market might not work out well for you. (sad, but true!)

2) Consider limited Contingencies 

If your offer has a lot of contingencies, the seller may view these as potential roadblocks . If another buyer has zero or very limited conditions and a similar price offer, chances are the seller is going to accept the one with the least amount of hassle. Always consult with your Agent, who will provide the best course of action!

3) Stand out against other offers by getting PRE APPROVED

Timing is everything in a sellers market, and having the right approvals already in place give you that added advantage against competing offers. Along with this, getting a mortgage pre-approval will send a clear message to the seller that you are highly motivated to buy.

4) Prepare yourself for some healthy competition

When there are multiple offers on the same property, you may find yourself in a good old fashioned bidding war. Make sure that you have a great Agent by your side to handle these swift negotiations, who will provide you expert advice on what to do next.

5) Submit a backup offer 

These do not always work as some clients can actually refuse to accept a back up offer… but in the event that a property is still under contract – there are still many variables that can come into play that might prevent the deal from closing – so having a backup offer in place is always a good idea. In an active sellers market on highly sought-after properties, it’s possible for a seller to accept multiple backup offers, lined up in the order in which they were accepted.

5) Always be prepared and stay patient! 

This can be a very stressful time, and when you find the perfect property, the last thing you want to have happen is to see it go to someone else. By being adequately prepared with a great Agent and a plan, you stand a better chance of locking in your dream home!

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