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Dealing with a low housing inventory

If you’re looking at houses for sale in Central NJ, you’ll be thrilled to know that the benchmark 30-year fixed-rate mortgage remains low at 3.2%. In short, being a homeowner has never been more affordable.

These days, however, affordability isn’t the biggest hurdle for buyers—it’s the availability of properties. As people clamor to buy homes in the Garden State, demand outstrips supply, leading to low housing inventory.

How can you successfully house-hunt under such conditions? Here are some tips:

Up your offer

To boost your chances of clinching Lambertville, NJ homes for sale, consider raising your offer. Take a look at the asking price and raise that figure by 5%—this tells sellers that you’re highly motivated to buy. You can also offer a bigger down payment to demonstrate your financial capability to proceed with the sale. Of course, only employ these strategies if you genuinely feel that the house is worth it.

Act fast

If you’ve found a property that ticks all (or most) of your boxes, don’t hesitate to make an offer. Given the low supply and high demand, you might find yourself beaten to the punch if you dally. Likewise, make it clear to the seller that you’re willing to close quickly. This can mean shortening your inspection time frame and securing pre-approval to fast-track your mortgage application. Acting fast can be especially helpful if the owner is planning to move out of state.

Make an all-cash offer

The vast majority of buyers take out a mortgage to purchase their home. But if you have the money to buy a house outright, you possess a distinct advantage. Sellers prefer all-cash offers because they do away with potentially time-consuming steps like property appraisal and mortgage applications. There’s also no risk of a buyer making an offer but failing to secure financing during the final stretch. That’s why in low-inventory markets, all-cash buyers typically get the first pick of available properties.

Rent back the home

Sellers are likely having a hard time looking for a new home, too. If you’re not in any hurry to move in, why not buy the home and rent it back to the seller for a few months? Aside from giving the seller more time to prepare for their move, this arrangement can also make your offer stand out. Just be sure to draft a contract that stipulates the move-out date so the seller doesn’t overstay their welcome.

Hire a good real estate agent

Don’t make buying a house harder than it is by attempting to do it by yourself. By hiring a trusted real estate agent, you can get access to unlisted properties, giving you more options to choose from. Your agent can also help you craft a winning offer and will negotiate on your behalf so you get the best deal possible.

If you’re keen on buying Hamilton, NJ homes for sale, tap the expertise of top agent David DePaola. With his exclusive listings in some of New Jersey’s most in-demand neighborhoods, a low-inventory market won’t stop you from finding your dream home.

To learn more, get in touch with David at 609.883.4161 or via david(at)depaola(dotted)com.