Top 5 Tips For Buyers In A Buyers’ Market
In the real estate world, a slow economy leads to the supply of available properties on the market outweighing the demand. Properties for sale in Fisherhaven are no exception.
In a Buyers’ Market, on one hand more property owners are facing financial distress and many will seek relief by placing their properties on the market.
Conversely, in a Buyers’ Market fewer buyers can afford the costs of purchasing property.
As a result of these factors, most homes will generally take a little longer to sell and many may fetch lower prices in the end.
Here are 5 great tips to help buyers take advantage of current market conditions:
1. Plan for a deposit, even if you don’t have to.
While mortgage lenders are granting 100% loans in certain circumstance, it’s smart to put down a deposit of around 10% of the purchase price. Minimising the risk to the bank of granting the loan can result in a lower interest rate being granted by the lender. Lower bond repayments will save you hundreds of thousands of rands over the course of a 20-year loan.
2. Get pre-qualified for a loan.
A good property at a fair price will often attract numerous competing offers, regardless of what the broader market is doing. A pre-approved loan will give you an edge over other buyers who have yet to qualify and, most importantly, helps you to define a realistic price range for your property search.
3. Know your local real estate agent.
While online research is important, there’s no substitute for the ‘on-the-ground’ knowledge of your local real estate agent. Discuss your concerns with, and ask your questions of, a real estate professional who understands current market conditions, as well as the neighbourhood you’re buying into. Be first in line to hear about the latest properties for sale in Fisherhaven.
4. Explore the market.
Do your homework and get to know the market. This is an essential step for any prospective buyer towards recognising good value. While online research is a good place to start, open houses provide a far more complete picture. Photographs can never tell the full story and visiting show houses is half the fun of being in the market for a new home.
5. Place your existing property on the market before you buy.
Most buyers need to sell their existing property in order to finance the purchase of a new home. If you are in this position, it makes sense to have your property valued and ready to market or, better still, already have it on the market, as this will strengthen your offer.
If you’re ready and itching to aquire the house of your dreams, you’ll be pleased to know that the current Buyers’ Market conditions look set to continue for at least the next few months.
Frans Theunissen of Fisherhaven Properties has over 30 years of experience as a real estate agent and has the knowledge and the expertise to help both buyers and sellers navigate through the current market conditions. Frans is available anytime to answer questions about the buying and selling process including anything you might wish to know about properties for sale in Fisherhaven.