Getting Equipped to Win
Buyers are flocking to the market this spring, with high hopes even as they face a frenzy of multiple-offer situations, according to new realtor.com® research.
Currently, inventory is down 8.5 percent year-over-year. In addition to the buyers out in droves for the first time, many have been on the hunt for a while. In fact, 40 percent of buyers have been looking for more than seven months; another 34 percent have been searching for four to six months. Moreover, 35 percent are anticipating “a lot” of competition this season.
“We’re only a few weeks into March and already seeing the market heat up,” says Danielle Hale, chief economist for realtor.com. “Holdover buyers hoping for greener pastures this spring are likely to find sparse options that require them to pay top-dollar or make other concessions.”
To combat competition, buyers are employing strategic tactics, like checking in daily on listing portals and getting notifications about prices, as well as above-asking offers and having a down payment higher than 20 percent.
“The majority of buyers are aware of the tough competition they’re up against this spring,” Hale says. “Having been in the market awhile, they’ve likely lost a few homes to better offers, which has given them more time to save and up their bidding strategies.”
Even against hurdles, buyers are optimistic—an impressive 60 percent believe they will close in the next six months, and 34 percent believe they will close in four to six months.
The data comes from more than 1,000 responses to a survey by Toluna.
For more information, please visit www.realtor.com.
Suzanne De Vita is RISMedia’s online news editor. Email her your real estate news ideas at sdevita@rismedia.com. For the latest real estate news and trends, bookmark RISMedia.com.