You can make a successful offer on a home even in a competitive market — with the right information and help.
Whether you’re in the middle of a home bidding war or facing down a list of must-haves, don’t lose sight of your budget and the risks. This will allow you to own a house without home buyer’s remorse, and according to Houselogic.com, you’ll have money left to enjoy things like new furniture, entertainment, and just plain having fun.
A competitive real estate market can set buyers up to purchase a home that’s either beyond their budgets or doesn’t meet their needs, according to a 2021 survey by Bankrate and YouGov. The survey found that recent home buyers had regrets about their home purchase. The top reason? They were unprepared for maintenance and other home ownership-related costs.
“Things in homes always break down, so people should put aside a budget for anything that will need fixing,” says Lawrence Yun, chief economist at the National Association of REALTORS®. “A rule of thumb is to anticipate 1 or 2 percent of the home price for potential maintenance,” he explains.
Houselogic.com states that buyers are facing many hurdles. Here’s what you can do to protect yourself from buyer’s remorse:
1. Don’t set your houses at the top of your price range. Otherwise, you will be outbid from the gate every time.
2. Focus on your must-haves. Adjust your search geographically, even if it means a longer commute. Buyers will have to compromise on property types and features and should consider some DIY projects instead of wanting everything to be move-in ready.
3. Learn from experiences. Today’s buyers have seen and written offers on many properties before they get their offer accepted. Each is a learning opportunity for buyers about what information they might need to be researching so they can move more quickly.
When you act on advice from recent buyers and agents, you can stay well informed and get good results even in a tough market. And that’s the best way to prevent home buyer’s remorse.
REALTOR® Association of the Fox Valley : 433 Williamsburg Ave., Geneva, IL 60134 : 630.232.2360 : www.rafv.realtor