Guest Post by: Joaquin Miranda from Homelight
The real estate market has gone from one extreme to the next. A few years ago, strong seller’s markets across the nation sent everyone into a buying frenzy. This buying frenzy was so intense that the Fed had to incorporate high interest rates to slow it down. From February 2022 to around October of the same year, the Fed kept raising interest rates to get a handle on the runaway economy. While there are currently still some strong seller markets, particularly in California, Idaho, and Nevada, things have cooled down for sellers nationwide. Some cities are in a stalemate, while others have moved into buyers’ market territory. Regardless of the current state of real estate, inflation and other economic issues have weakened many people’s ability to buy or rent, especially younger ones. So how can young people navigate such a competitive housing market? Keep reading to learn a few solid strategies for getting the most out of your money in such a tough economy.
Start With Securing a Top Agent
In this competitive market, homeowners who already have skin in the game are having trouble finding a new home. So, it should come as no surprise that young buyers are having challenges within this market, especially young unmarried couples. One of the best ways for young people to have a shot at competing effectively with others in the buying pool is to work with a top agent. One of the most important things they can do for young people is to help them successfully navigate the buying process. Additionally, they will help educate them about homebuying in general. Top agents will also help young buyers get through the closing process with as little resistance as possible. They will also help buyers get through the challenging home inspection process.
Think Clean and High Earnest Money
A clean offer will make you stand out, regardless of your age. So, the best way to win in the home buying process, especially when age and inexperience could be an issue, is to avoid beating around the bush with the offer. It is also a good idea to minimize the list of contingencies. A solid offer with minimal contingencies will let a buyer know how serious you are and put you at the top of the list for consideration. Another good idea is to go as high as possible on earnest money. In addition to a solid down payment, this will let a seller know you are serious about acquiring their property.
Don’t feel that being young is a challenge to home buying. In this topsy-turvy market, everyone is feeling the pinch. Using these tactics can help you look as sophisticated as seasoned buyers.
