Why Is It So Hard To Find The Right House?
We get this question all the time from folks who thought that simply using all the available web search tools would make finding their home an easy task. With all the news out there about how poorly the housing market is doing many assume that there are loads of properties available in Southwest Riverside County that banks are just waiting for them to make offers on. Add to that situation the likelihood that a friend or family member is telling them “just go for the bank-owned deals,” or “stay away from short sales…” and one can see why it can be frustrating; after all, the short sales seem to be the best houses. A common refrain our agents hear from frustrated web-shoppers is “I thought it was a buyers market?!” The short answer we give them is that it is…sort of…
It is a buyer market due to pricing. California real estate rarely goes on sale. With the most desirable climate in North America, Southern California has been one of the toughest places around for buyers to find the right house. Now add to that “desirability factor” the reality that the best climate is now “ON SALE” and you have the perfect recipe for buyers to flood into the market. 2007 saw many potential buyers sitting on the fence waiting to see how far prices would drop. Once pricing came down about 25% buyers started acting…in droves. Home sales in Temecula and Murrieta this fall have been up almost 300% from last year. Imagine your favorite department store on Black Friday…well that’s what’s happening.
The result of this situation is that buying a home is not as easy as it used to be. The intense competition, the complexity of the different types of sellers active in the market and the uncertainty of pricing and property conditions mean that one should seek the help of an agent and lender that are living and working in this changing environment on a daily basis.
Based on our experience working with many clients in the past couple of months, here are some simple steps you can take to ensure that you can capitalize on the current market reality:
Seek Competent Representation – Carefully screen the agent and company who will represent you. This is extremely important not just for handling your purchase, but in finding you the right property. With the high volume of buyers currently active in the market, it is often the agent who knows the inventory, upcoming listings and neighborhood trends who gets the “deal” for their clients. Ask yourself if the agent you are considering knows the area you want to purchase in intimately.
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Set Realistic Goals – One mistake we see buyers making is they don’t look at homes in the price range they can afford. Often they start shopping with the belief that a “buyers market” means they can make any offer they’d like on a property even if its currently priced competitively. Hoping to steal a property, a buyer qualified to purchase a $250,000 home spends their time looking at, and making offers on, homes in the $300,000 range. Only after repeated rejections and the frustration this process results in do they get real or give up. A competent Realtor will ensure that your expectations are managed and that your efforts are focused in a way in which you can capitalize on current market conditions. Success is purchasing a home you love during a down market.
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Move Quickly – There is no reason to miss opportunities to purchase a home that is perfect for you. The most common mistake we see buyers and agents making, particularly with popular pool homes, is waiting for the weekend to go look at homes that came on the market during the week. Properties that sell quickly usually have an accepted offer by the time Friday afternoon arrives. Unwitting buyers and inexperienced agents will then spend the weekend looking at, and getting excited about, properties that are already sold. Furthermore if you are relying on an auto e-mail system, or are searching the web yourself, these systems typically have a delay of up to 72 hours from the time a new listing is entered into the system until you can see it. Agents have access to new listings immediately. Those buyers who have agents constantly monitoring MLS are the buyers who get the best properties.
Taking your home search seriously and having an agent who shares your passion for what you hope to achieve is the key to success in today’s market.
It is a fantastic time to buy. Just remember that everyone knows it. Arming yourself with a competent agent and being realistic about your goals will ensure that you have success. Good Luck!
Century 21 Preferred
25050 Madison Ave Suite 101
Murrieta, CA 92562
(951) 304-2122