How To Compete in This Hot Market and Win!
Nobody said buying a home in a sellers market would be easy, but with the right real estate agent by your side and the tools to succeed, your offer can and will be accepted. Even when inventories are low and you got outbid, watch this video to WIN. Are you thinking of buying a home in the Bay Area? Wanting to sell your home and get multiple offers? I'd love to help! Reach out to me below and let's chat! #YourTechRealtor
Are you struggling to find success in this real estate market? You don't want to miss out on this video. The real estate market is hot right now. This year alone there are more transactions and more buyers out there than there have been in
the last several years.
Many other agents have been sharing with me that this has been the busiest it has been in the last decade. However, I've personally already helped 26 families buy a house as of June 2021. And how do we do that? None of the bids that we've been making were significantly over anybody else's, but there is a process to have and it all comes down to the mental aspect. This is not easy for home buyers and it's not easy for myself as agents.
So it's very important to understand why are you even looking for a house to begin with. What are your goals and objectives? And if you get rejected a few times what difference does that make in terms of achieving your goals? When you go through this it's important to understand none of this is personal. And for me, myself, I take the personal and the subject aspect of things out of the way. Because it's very data driven as to where things will likely go. So don't take it personal because there is always competition out there. You will be competing likely against a few people.
Offers will come and go every week, but with the right approach and the right discipline you'll have a very good opportunity to be able to get you your home of your dreams. Now, what does that mean? What are things to do for the mental aspect? Like I said, always fall back as to why you're searching to begin with. I tell all of my clients this, "Be patient, but be ready." You know you never know when the property you like will be available, but there is absolutely no excuse for not having everything on your end ready to go. Whether that's on the finance side of getting pre-approved, underwritten, working with a lender that the realtor wants you to work with because of that synergy. It could be having the time to read viewed disclosures.
There is plenty of time to review disclosures over the weekend, make any sort of up calls on Monday to get everything ready to go for an offer that's likely due on Tuesday through Thursday. So it was all about the preparation. The other thing is when you work with someone like myself who is a top producing realtor and a data-driven realtor, many things happened in terms of giving you a competitive advantage, but also setting the right expectation. So what are those right expectations?
At the end of the day, every home will sell in a band of prices. And the band of prices are predictable. You want to look at what other homes are sold for in the last couple of months. And I will always extract that into a very simple Google sheet. You can see the numbers for yourself. And I personally will give you an estimate as to what a home will go for. You want to be able to understand where the market has been and where it is going. Right? Keep in mind, anything that has sold that has closed yesterday, is already at the very least one month old.
So it's important to understand that data in terms of what are the trends because then you can factor in that premium. That has been an increase either month over month, or a premium over what's something that may have sold in, let's say April, versus the home that's on the market today.So those are very important factors to be able to determine what a home would likely go for. And so that way, at least you are in the top grouping, right?
At the end of the day, our goal as a buyer is to try to buy the home. I mean, there is no reward for second place. The second place just means you keep looking. But at the same time, you should be able to make pretty good bids that you're in the top groupings, and then rely on your realtor with their expertise, and their negotiation and their relationships to hopefully get you an edge. What I find the most disappointing thing. Quite frankly, at the moment, is that there are a lot of people that are excited about buying, which is great. We have more buyers out than ever before, but, quite frankly, we have a lot more that has dropped out of the market than ever before, too.
People may say they just keep reading all these clickbait headline articles."Oh, the real estate market is on fire." All these different things, et cetera, et cetera. The market has increased just like every asset has increased.
Look out around you, There is very little newconstruction out there. All that inventory is gone. You have assets continuing to increase. You have inflation that has already been happening. What else are you supposed to expect, in general?
You can look at the money supply and see the fed has basically printed another 25% more money in general. So what does that mean? I mean, quite frankly, so you should be almost surprised that things don't almost increase 25% already. And so it's important to understand number one different assets have a different trajectory. So single family is doing way hotter, way stronger, than town homes, which is way hotter than condos. So do not mix all of those together. It's a completely different experience depending on which one, that's number one.
Number two, you want to have the right mentality as in this is going to be a journey. So have that going with you and understand that. And then at the same time, as long as your goal is not necessarily winning a property, your goal if you want to track mini wins is "Am I making competitive bids where I'm the top two or three of each time?" I don't feel so bad. Obviously I feel bad for clients not being able to get the house they want, but if you know yourself, "Hey, look I'm going to top two or three out of 10 bids every time." Every time you will land your house. And that's my goal to get you in those positions every time. And that goes with education, that goes with the analysis, that goes with understanding competition. And that way you will have a competitive advantage. And I would love to be the person that helps you do that especially this market.
If you or anyone you know is considering to buy, sell or invest in the Bay Area, I would love to help. I've been able to help already 26 families, and it's just getting started on my end. And hey look, it happens, right? Sometimes you work with another realtor, it could be a friend, it could be a family. For whatever reason it doesn't work, you're not seeing that traction. As long as there's no buyer's agreement in place. It's perfectly normal forpeople to switch over.I mean, trust me, unfortunately,it happens, you know?You may not be educated versus months ago. You may want to see some of the actual insights and strategy as time goes on,and you realize it's not a good fit.Maybe a fifth or sixth of the people that have found me through YouTube happened that way.They felt they haven't beengetting the right amount of information or the strategies to be competitive,especially in this market.Because the variable of successand rejection could be very slim,but you may be overpaying significantly,as in tens of thousands of dollars.So be sure to be careful with that, but I would love to help you.I hope you enjoyed this episode.
Happy hunting, engineering a better life today.