Tips for San Diego Home Buyers Navigating a Seller’s Market

San Diego home buyers often have a hard time finding the right house when the market favors the seller. And currently, the real estate market is leaning heavily toward the seller. 

As a result, San Diego home buyers are scrambling to get offers in before the very limited supply of houses dries up. With housing prices increasing with the high demand and low supply, San Diego home buyers must be on top of their game to get their offer accepted.  

Get an Early Start

When shopping in a market that does not have many houses for sale, it is important to start as soon as possible. Getting a feel for how the market is moving will help when making offers. Pay attention to San Diego houses when they are first listed. Track how long they stay on the San Diego market, how much they sell for compared to their listing price, and what type of homes are for sale.

All of these components will help San Diego home buyers determine what they can afford. If houses are frequently sold above their asking price then buyers will know to look below their max spending threshold. Leaving some wiggle room when making offers is important during negotiations.

Work with the Right Team

Before making a single offer, San Diego home buyers must be pre-approved. This pre-approval will show sellers that the buyer is able to make an offer and keep it. Without a pre-approval, it is likely the seller will accept an offer from another buyer. 

The process of getting pre-approved can take a little while, depending on the buyer’s financial state. Again, San Diego home buyers will want to start the process as soon as possible.

Bring a Serious Deposit

San Diego sellers want serious offers. They do not want a buyer that is passively searching the market for the right house. This is why a buyer who makes an offer with a pre-approval and a decent sized deposit is going to catch the attention of any seller. 

Most deposits are one percent of the sale price of the home. Increasing this up to five percent will show a seller that the buyer means business.

Do Your Research

When making an offer in a seller’s market, it is important to know what the seller is looking for. Most sellers want to get as much money as possible from their property, so a high offer is desirable. However, there are some sellers that are motivated by other factors.

A seller that has already purchased another San Diego house may want to sell their old home quickly, regardless of how much money is offered to them. Proving that the buyer is able to close quickly on the San Diego house will make this seller much more likely to accept an offer.

Be Polite and Positive

When meeting with a seller, San Diego buyers want to avoid being negative. This applies to every step of the process – from the buying process, the house, or even their negotiation tactics. Being polite to a seller is a must. 

Selling a house is very personal. They have lived there and created many memories in the home. Be sure not to offend them or make them angry by being rude. A seller is much more likely to negotiate with a polite buyer.

Buying a house in a seller’s market often means higher prices and less negotiation room. Sellers are aware of the power they hold over the limited amount of houses in this type of market. A motivated buyer must work make offers that are appealing to the seller to make sure their offer is accepted over the competitions.