According to statistics compiled by the Denver Metro Association of Realtors (DMAR), the inventory of available homes in Metro Denver hit an all-time record low since the numbers have been tracked.
This is great news for Sellers! People want to live in and around Denver, they’re willing to pay a premium to do so, and there aren’t enough houses, townhomes or condos to go around. It’s called a Sellers Market for a reason: the odds are in your favor, and this is an excellent time to maximize your homes potential and gain a return on your investment by selling your property, if you are in a position to do so.
The hot market we’re in right now is challenging for Buyers. Prices are strong. Inventory is low. Interest rates are on the rise. Factors like rising interest rates will eventually put a dent in the insane level of demand in our area because as financing becomes more expensive, fewer buyers will enter the marketplace. In the meantime though, if you are a buyer in the Metro Denver housing market, you need to do everything in your power to give yourself an edge.
Here are a few tips savvy Metro Denver Buyers can use to win at the game:
Secure financing first. Don’t begin the hunt until you are fully approved for a loan, and don’t wait to apply. If you want to move in 6-12 months, apply for financing now.
Know your timeline. If you want to move in a year, don’t assume you can wait 10 months to begin your home search. Even if the market cools a bit as the Fed raises rates, Denver will likely still be hopping in a year. Plan for the possibility you’ll be searching for a home for several months, and don’t put off the process until the moment you want or need to move.
Don’t go it alone. Unless you are an expert negotiator and familiar with the ins and outs of real estate contract law, seek expert representation to secure a legal, smooth-as-possible transaction. Things move quickly in a market like this, and if you aren’t prepared, you’ll lose out and possibly hit legal snafus along the way. Work with an experienced real estate professional to avoid pitfalls.
Whittle down your must-haves. Wouldn’t it be nice if your next house had freshly painted walls, beautiful hardwood floors, newer appliances (included, of course) and stylish high end draperies in every room? In a Sellers Market, you may have to give up on some of your wishes and hopes in order to snag a deal. You can paint, upgrade the flooring or appliances and install fancy curtains later; if you aren’t able to successfully close on a house, none of those details will matter. Choose 5 absolute must-haves and mentally prepare yourself to look past minor imperfections.
Steel yourself – there will be disappointment along the way. The reality of a competitive real estate marketplace is this: you will likely make offers (notice I said offers – plural) that are ignored completely or rejected. You may come back with a higher/better offer on a house you love and be rejected a second time. It will probably bum you out every single time – at least a little. The key is not to let yourself fall in love on the first date. Not even once you are under contract – because sometimes contracts fall through. The time to really let loose with a victorious hoot-holler-we-did-it victory dance is the moment you walk away from the closing table with keys in hand. That’s when the house is really yours, and that’s when to breathe a sigh of relief and start dreaming big dreams about your new digs.
Are you thinking about selling, and wondering if it’s worth your while? Thinking about moving closer to work, into the city, or further out into Suburbia?
Call me or drop me a line in email. I’ve been helping people buy and sell homes across Denver for over 20 years, and I’d love to help you make your next move.
The Meyers Group