Biggest Mistakes Buyers Make in a Hot Seller’s Market

By
Real Estate Broker/Owner with Ventana Coastal Properties - www.FindCARealEstate.com BRE# 01708749

Home Buyer Keys to SuccessIn the current seller’s market that exists in many parts of the country, buyers need to perform near perfectly to attain the home of their dreams. In South Orange County where I am a real estate broker, many of the best new listings that come to market are receiving multiple offers . . . and in just a few days on the market. So what can you do as a buyer to enhance your odds of getting your offer accepted?

 

1)      Get Serious and Work with a Buyer’s Agent – while this sounds like a given, many buyers are casually looking and only get serious when they see a home on the internet and start their quest to buy that home from whatever agent they can find. By the time they get mobilized the home is gone!

 

2)      Get Ready to Buy – be sure to get prequalified or better yet preapproved for your loan. This eliminates any surprises and demonstrates to sellers that you are serious, qualified, and able to close. Have your proof of funds ready to show which is often required in California.

 

3)      Operate with a Sense of Urgency – have your agent set you up a new listings alert and when a hot property comes to market moving quickly is extremely important. If a listing comes to market on a Wednesday, waiting until Saturday to see it because you want to watch the Olympics is a bad tactic. Always assume that other interested buyers are seeing the home on day 1 and making an offer on day 1!

 

4)      Make Clean Offers – offers that are not clean result in delays – delays results in more buyer offers – multiple offers drive prices up and probability of getting your dream home down. If there is something specific that the seller is looking for in your offer do everything possible to accommodate it.

Clean Home = Clean Offers

 

 

The competition to buy homes is very high as a result of low inventories and low interest rates. By avoiding these types of mistakes that other buyers are making, you greatly enhance your chances of becoming a new home owner in the near future! If you are looking to buy a home in Orange County or real estate in San Juan Capistrano I would welcome the opportunity to work with you.

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David Grbich | Broker - REALTOR® | 949-500-0484

DRE #01708749

 

 Please visit my website www.FindCARealEstate.com to Search Orange County Homes for Sale

 

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San Juan Capistrano Real Estate | San Juan Capistrano Homes

David Grbich is the Broker Owner of Ventana Coastal Properties, a leading real estate brokerage serving the needs of Orange County buyers and sellers. Orange County real estate experts serving Aliso Viejo, Costa Mesa, Coto De Caza, Dana Point, Huntington Beach, Irvine, Ladera Ranch, Laguna Beach, Laguna Hills, Laguna Niguel, Lake Forest, Mission Viejo, Newport Beach, Newport Coast, Rancho Santa Margarita, San Clemente, San Juan Capistrano, Talega, Tustin and surrounding areas.

 

 CDPE - Orange County Short Sale Agent

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Re-Blogged 7 times:

Re-Blogged By Re-Blogged At
  1. Chuck Carstensen 08/12/2012 05:43 AM
  2. Amanda S. Davidson 08/12/2012 06:32 AM
  3. Julie Baldino 08/12/2012 08:43 AM
  4. Leslie De Luca 08/12/2012 09:59 AM
  5. Gene Riemenschneider 08/15/2012 01:45 PM
  6. Gabe Sanders 08/20/2012 04:02 AM
  7. Winston Heverly 12/31/2012 07:46 AM
Topic:
Real Estate Best Practices
Location:
California Orange County
Tags:
buying a home
home buyer tips

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Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

David- congrats on the feature.   Wouldn't it be nice if there were some kind of balance instead of the feeding frenzy that used to go on when houses were unrealistically high or the "let's see how many houses we can see" market we've had. 

Aug 12, 2012 11:47 AM #31
Rainer
39,278
Caroline Fitzgerald - BestPreppedListings.com
Real Estate Client Prep - Richmond, VA

Great post, David. I will add though that agents need to operate with a sense of urgency. I lost a house earlier this spring because my agent couldn't see it for three days from the time I asked about it. And he has delayed a number of other showings as well. (Some might tell me to fire him, but he's good at what he does on a lot of other important levels...not the least of which is his experience in the building field which is very important to me when buying an older home) My point is that I think a lot of agents may still be of the "buyer's market" mentality...it's not a sure thing that it's a seller's market yet in my city, and I think that is part of why my agent isn't in a hurry.

Thanks for a great list, David

Aug 12, 2012 12:05 PM #32
Rainmaker
546,282
Diane Daley
Caron's Gateway Real Estate - Northumberland, NH

Right on for all points made.  Pre qual with buyer agent highly recommended. 

Aug 12, 2012 01:13 PM #33
Rainmaker
377,157
Kerry Lucasse
eXp Realty - Nest Atlanta Team - Atlanta, GA
Your Nest Atlanta Real Estate Consultant
Excellent advice! We're seeing the same thing here in Atlanta and many buyers are shocked when they miss out on a home or end up in a bidding war.
Aug 12, 2012 02:19 PM #34
Rainmaker
153,974
Rich Arnold
Keller Williams Realty East Valley - Tempe, AZ
Realtor - Tempe, Chandler, Mesa, Gilbert, Phoenix

Cannot be repeated enough times.  I may have to stamp this on my forehead, as I seem to have to repeat it every time I go on a showing with clients.

"What about the house we saw last week?"

"Will the owner take 80% of the list price because the grass is dry?"

"I want to think about it, I'll get back to you next week."

"Well, I can pay the full asking price, but I don't want to.  Let's try this low price first.  Yes, I know there are 20 offers on it already, let's just see."

"I don't think it's worth $xxx,xxx even with the pool.  Show me a bigger home for less than $xxx,xxx."

 

I'm gonna step into a boxing ring with an Olympic medalist, because I know how to take a pounding.

 

Aug 12, 2012 03:15 PM #35
Rainmaker
233,579
David Grbich
Ventana Coastal Properties - www.FindCARealEstate.com - San Juan Capistrano, CA
Orange County Real Estate - 949-500-0484

Thank you all for your excellent comments - very much appreciated and looks like we are all working with buyers to make sure they are ready to buy! Regards Dave

Aug 12, 2012 03:52 PM #36
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Bryan Robertson
Catarra Real Estate, Inc - Los Altos, CA
Broker, Author, Speaker

These are absolutely on the money.  The lack of preparation by some buyers really gets me.  They get all hot about a house and then go "We need to be pre-approved?" like it's a big surprise.  Most seem to learn quick though.

Aug 12, 2012 04:18 PM #37
Rainmaker
278,173
Travis "the SOLD man" Parker; Associate Broker
Team Linda Simmons, Enterprise, AL 36330 - Enterprise, AL
email: Travis@theSOLDman.me / cell: 334-494-7846

Good tips, especially getting pre-qualified!

Aug 12, 2012 04:25 PM #38
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Tammie White
Benchmark Realty, LLC (615) 495-0752 or www.TWRealtyGroup.net - Franklin, TN
Franklin TN, South of Nashville

There are two pieces to this puzzle that I don't think buyers often understand: price and urgency. We review the comparable sales so buyers can have a better understanding of what is a reasonable offer. Then they offer way below market even though we've told them that's not what the market reflects. Many buyers are still listening to the national media rather than take the advice of their local agent. Sometimes it's an uphill battle for us.

Aug 12, 2012 07:08 PM #39
Rainmaker
799,187
Mike Cooper
Winchester Real Estate Sales, Cornerstone Business Group Inc - Winchester, VA
Your Winchester, VA Real Estate Pro

Great advice, David.  I just did a blog about buyers buying without an agent.  It can be a nightmare.  All good points well worth checking out.

Aug 12, 2012 07:44 PM #40
Rainmaker
828,774
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
your real estate writer

Isn't it interesting how quickly things changed from buyer's market to seller's market? I hope the shift makes it way to N. Idaho before too many more months.

Aug 12, 2012 09:27 PM #41
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Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 800-610-7253 DRE01267479 - Costa M

David - There is so much competition right now that serious buyers really need to act serious if they're going to get their new dream home.

Aug 12, 2012 11:43 PM #42
Rainmaker
638,292
Stephanie/Bob The Ruiz/Miller Team
Keller Williams Cornerstone Realty - Ocala, FL
The Ocala Dream Team

Hi David, great post and great list.  Now if you can get the buyers to listen!

Aug 13, 2012 09:37 AM #43
Rainmaker
210,644
Toby Barnett
Barnett Associates R/E Team - Marysville, WA
Toby Barnett

Couldn't agree more with clean offers and since these days are marked by multiple offers it is ever more apparent to make offers clean and straight forward.

Aug 13, 2012 10:54 AM #44
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Bob Crane
Woodland Management Service - Stevens Point, WI
Forestland Experts! 715-204-9663

thanks David, it sounds like a great plan to get an offer accepted, I would caution not to set them up with too much of a sense of urgency, or they may be paying too much.

Aug 14, 2012 12:50 PM #45
Rainmaker
1,266,874
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

These are really great tips.  Clean offers are very important.  Buying a home is hard work.  Waiting till it slows down means waiting till prices go up.

Aug 14, 2012 02:10 PM #46
Rainmaker
327,514
Jon Quist
LONG REALTY - Tucson, AZ
Tucson's BUYERS ONLY Realtor since 1996

Excellent advice for prospective buyers. Now if we could only find some more inventory.

Aug 15, 2012 07:30 AM #47
Rainer
21,591
Lou Zandy
WeLoveMarcoIsland.com - Marco Island, FL

David,

snooze you lose....  great tips.... be prepared and available

thanks for sharing

Lou

Aug 15, 2012 01:14 PM #48
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John McCormack
Albuquerque Homes Realty * www.AlbuquerqueHomes.com - Albuquerque, NM
AlbuquerqueHomes.com, Albuquerque Homes Realty

A good clean offer is always more appealing.   The second note is if you find a home you really want you better show some urgency.  I had clients loose two homes last week to accepted offers due to their lack of urgency.  Big sigh here....

Aug 15, 2012 02:46 PM #49
Rainmaker
351,972
Debbie Cook
Long & Foster Real Estate, Inc - Silver Spring, MD
Silver Spring and Takoma Park Maryland Real Estate

You must be serious, quick, prepared and over-ready.  Timely post for me, as the market here in Silver Spring and Takoma Park, Maryland has low inventory and multiple offers everywhere.

Aug 17, 2012 11:00 AM #50
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