The WSJ has an ongoing series chronicling the red hot housing market in the US as we continue to reel from the effects of Covid. The articles keep coming because the intense seller’s market persists. In March there was actually 28.2% less housing inventory versus one year prior. And at the same time, very low mortgage rates are driving a super demand for homes. The result has been bidding wars which send prices ever higher. But clients can’t stay locked down forever and our extremely active transaction history is proof of that! So what’s a buyer to do? We are here to help you navigate.
First, we advise our buyers to be flexible on timing and get creative to work fast. It’s also wise to work with a local lender and pay with cash whenever possible. Offers require a special finesse to strike a balance between being competitive and within your budget. We work with you to present a dynamic deal that works for your family and gets you into the home of your dreams. Buyers should also consider waiving contingencies and exploring escalation clauses. For those on the fence it’s worth noting that mortgage lenders in Miami actually anticipate more inventory hitting the market once mortgage forbearance expires this summer.
Sellers also require coaching in this hot market to avoid getting burned. We always advise clients to price correctly. Local agents and buyers have insights into comps which will keep your property low on the priority list should it be marked in an unrealistic manner. We take special care to advise on anticipating potential objections, removing items that could turn off the buyers. A successful transaction relies on a pristine environment, so put your best foot forward with your home including deep cleaning and fresh paint.
While housing supplies can’t meet demand, lean on experts who can help you keep cool in a Miami summer that’s projected to seriously bring the heat in terms of real estate. Avoid making snap decisions which might put you in an irreversible situation i.e. forgoing home inspections in fear of losing to another bidder! We have been very active in this market and offer a proven methodology which champions our clients on both ends of the transaction. Reach out to our team. We look forward to working with you.