We often hear about a “buyer’s market” and the “seller’s market,” but it’s important to understand that these trends vary on a region-by-region basis. National trends are reporting a “buyers market” in many areas, meaning that there are more homes for sell then there are buyers, giving buyers a slight advantage – BUT – this is not currently the case in Spokane. In fact, we are trending more towards a seller’s market, meaning there are more buyers than sellers. Many homes are receiving multiple offers.
Buyers can absolutely capitalize on a home purchase in Spokane’s competitive holiday market, but there are a couple of important steps that you’ll want to take to increase your competitiveness and get the best deal. Here’s three things you need to know if you want to capitalize on Spokane’s current market and close on a new home before the holidays.
How to Buy in a Cooling Market
Even in light of a slight seller’s market, this is still a great time to buy in Spokane! It is true that buying is more competitive right now, but this trend is coming on the heels of recent price drops on real estate. What does this mean for buyers? Prices are going up, but they are still lower than they have been – and as bidding wars on properties heat up, prices will continue to rise.
The recent price reductions mean this is the perfect time to capitalize on the holiday market. First time homebuyers, real estate investors, and downsizers will find particular benefit in this market.Waiting buy until after the holidays could mean paying more for your home.
You MUST Do This
Get prequalified! In a competitive market, it is crucial that you come prepared. I strongly urge all my clients to get prequalified before beginning a home search, for a couple of reasons. First, getting prequalified reduces heartbreak when you fall in love with a home only for funding to fall through. Second, you are competing against other buyer offers, so you need to convince the seller that YOU are the most qualified offer. A thorough, well thought out presentation of the offer from your realtor can genuinely make or break the transaction, so be sure to provide as much to your realtor as possible. I generally request recent financial documents and statements be readily accessible on hand so there is absolutely no delay in the offer process.
For those looking to close and move before the holiday season is upon us, I recommend taking the extra step to become fully underwritten prior to making an offer on a home. This will speed the process significantly (as little as 21 days to close, in some instances), and increase the competitiveness of your offer. For mortgage brokers who specialize in fully underwriting buyers prior to the offer, consider Ben Sharpe at Mountain West Bank or Boone Plager at Fairway Independent Mortgage.
The Benefits of Buying Now:
- Move in before the winter holidays
- Capitalize on the reduced pricing before bidding wars drive prices back up
Pro Tips for Buyers:
- Come prepared!
- Have a pre-approval letter or underwriting from a lender before hiring a real estate agent or viewing homes
- Have recent asset statements ready, in hand, when making an offer
- Allow your agent to put together the best possible offer presentation by providing documents and statements as quickly as possible
You want to be the best, most qualified and serious offer in a competitive market. The offer presentation created by your agent is the only thing a seller knows about your qualifications. It is critical that you hire a realtor with an exceptional presentation strategy.
Looking to Buy and Sell in Spokane?
Carrie Meyer is passionate about helping people relocate to Spokane. Having done so herself nearly 15 years ago, she understands the struggles and stresses that come with moving from out of town and provides unique services to make the process as simple as possible. Carrie also specializes in new home builds and property purchases for those looking to live on acreage with an easy commute back into town, and gladly represents local transactions of any type.