There may never be a better time for sellers to put their homes on the market.
“If you need to sell because of marriage, divorce, having a baby, aging, or relocating, it’s a great time to take advantage of this seller’s market,” says Alan Smith, broker-owner and one of three partners at RE/MAX Professionals.
But for buyers, it’s a different story. With limited supply and some buyers who have deep enough pockets to offer thousands over the list price, many average buyers feel squeezed out.
Denver area real estate professionals offer the following advice for securing your dream home in this red-hot market.
Winning strategies
First, work with an agent who knows the market and understands what you want and need, says Stacie Staub, West + Main founder and CEO. “You need to make sure you’re working with a realtor who knows how to write a winning contract,” she says. “It takes a lot more than unlocking doors to get a property under contract in a hot market.”
Chad Ochsner, RE/MAX Alliance broker-owner, says buyers need realistic expectations. “You need to be prepared for some disappointments.”
He also recommends exploring power buying programs like his agency’s Alliance Offers that provide loans so buyers can make cash offers and then secure permanent financing after the initial closing.
Kevin Kudrna, Redfin Denver area market manager, agrees and says Redfin recently acquired Bay Equity Home Loans to give its customers more products to create competitive bids.
Kudrna recognizes the market can be frustrating, so he cautions prospective homebuyers to be patient. They also need to find the right agent.
“Make sure you have a good team; this includes a trusted agent and a great lender who will advocate for you and help you make the strongest offer possible.”
Waiving inspections
Some buyers waive inspections to submit the winning bid.
Kudrna says waiving inspections may be necessary, but buyers should be cautious when making that decision. “Buyers should understand the risks of this strategy and evaluate their own comfort level,” he says.
Other agents say skipping an inspection can be dangerous.
Smith says it’s never a good idea to waive the inspection. “It’s a risky move for most people unless you’re a contractor. It’s always good to get a look at the house to find out what’s going on inside.”
Ochsner agrees. “It is never a good idea to waive inspections,” he says. “You may want to overlook small, cosmetic repairs that arise from the inspection, but it is important to still get the inspection and not overlook major repairs such as structural or the roof.”
The news and editorial staffs of The Denver Post had no role in this post’s preparation.
