SURVIVING DENVER ’ S HOT HOUSING MARKET
Three Tips To Buying A New Home and Keeping Your Sanity
We reached out to our own Todd Huettner for some current data on the local market , insight on the challenges buyers face , and advice to not only find but also successfully get the new home you want under contract .
WHAT CHALLENGES DOES THE STRONG DENVER HOUSING MARKET CAUSE FOR HOMEBUYERS ?
The single biggest factor is a very tight supply of homes that is creating rising prices and bidding wars . As of June 7 , 2017 , there were only 3,847 homes listed for sale on the Denver MLS between $ 300,000 and $ 900,000 . For a city of this size , that is incredibly low . You would normally expect about four-to-five times that number of listings this time of year . The result of the tight supply is that homes listed for sale usually receive multiple offers very quickly , often creating bidding wars . That , in turn , causes prices to rise artificially . So , what do people who want to buy a home do to survive in this market ?
The reality is that the market is tough , but not nearly as bad as people think it is . The majority of people who miss out on home after home for months on end are simply unprepared emotionally and financially to be successful homebuyers . With that in mind , the first step is to get prepared mentally and set proper expectations .
Proper expectations for this market
• You will need to look at a home the same day it is listed
• You should make an offer shortly after seeing a home
• You may miss out on a house or two
• You must know that you do not have to have 20 percent down or even 5 percent down to buy a home
• You must set limits so you move forward with confidence
WHAT MUST BUYERS DO TO GET PREPARED ONCE THEY SET REALISTIC EXPECTATIONS ? The key to being successful once you know what you will face in this market is getting prepared financially . To do this , you must get pre-approved with a lender and not just prequalified . By providing all of your documentation that might be required to apply and finish the loan process and having it reviewed , you will know
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