Monday, November 2, 2009

Home Buyer Strategies 101

Most home buyers jump on the new listings that come on the market. There is a mad rush to the first open house and then a decision whether to offer on that home - typically with fear that others will do the same. For sure, those homes are worth looking at, but a better strategy tends to be looking at homes that have been on the market for a while, have had a price reduction (and if so how long ago), are vacant (typically more motivation there) or are truly overpriced. This last point needs some clarification. An overpriced home does not typically reflect a motivated seller - but there are sellers out there that will not reduce their price yet will cut a market rate deal when an offer is presented. I talk to a lot of listing agents before showing homes to a buyer to evaluate what is possible in each of these situations. Info wins!
By the way, setting up a listing alert specifically for "changes" in the listing is very beneficial - this will highlight price reductions as well as changes in the comments which may reveal a more motivated seller.

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