You are one of the fortunate. You have landed a decent job, have managed to save a down payment and understand that buying a home is a great investment that will put you ahead of the game.
First of all, congratulations! Well done!!! You are setting yourself up for a very bright future. Now, the real work begins.
The fist time buyer market is one of the toughest markets in the city. Why? There are more buyers than there is supply, which translates into lots of competition for the decent homes in this market. Bidding wars are still the norm in this market and they require a well thought out strategy and plan.
What is a bidding war? A bidding war is when the agent lists a home, sets up a specific offer date and accepts and reviews all offers on that date. The advantage for the seller is that it is a relatively effective way to get the highest price for your home in the shortest period possible.
For a buyer, you may be wondering how to win a bidding war. It means that you are going to need to make your mind up on whether you want to bid on the home quickly, and if you decide to bid, position yourself to put you best bid forward.
This means clearing yourself of all conditions in your offer. Have your financing in place in advance and be comfortable with either the building inspection that has been completed or complete your own inspection prior to putting your bid you’re Your agent should review with you the what recent properties have sold for in the area to give you a feel of market price. Agree on what your maximum bid is for the property in advance and be disciplined in only bidding to your maximum.
Again, bidding wars are a reality in this market. Do your homework to position yourself to win and set yourself up with to succeed in this competitive market.