‘Will You Accept This Rose?’
“Nice to meet you. . .let’s get married!”
Few people would commit to a partner like that, but when it comes to buying a home, it’s another story. House hunting in this market is like an episode of The Bachelor, with a desirable single-family home taking the place of the ‘hot guy’. Instead of 30 women vying for the final rose, there are 30 people fawning over the same property. Each buyer is trying to seduce the seller with offers wildly over asking, heart wrenching letters, inspection waivers, appraisal waivers and promises of a speedy closing.
A quick Google search showed that the average couple dates for 4.9 years before getting married and the average marriage in the U.S. lasts 8.2 years. In contrast, homeowners will also spend about 8 years in their homes but if they bought in 2020 or 2021, they will be lucky to get 15 minutes inside a property they will live in for roughly the same amount of time the average marriage lasts. What?!?!
The speed at which you must act will make it feel like impulse buying. Don’t lose sight of the fact that this is not a trip to the mall, it’s a huge investment. Here are a few tips to help navigate this market. First, make a budget and stick to it. When the bidding gets crazy, a realistic budget will keep you from making a costly financial misstep. Next, figure out what you want. It sounds obvious but when you only have a few minutes to walk through a property, preparation is key. After you determine what you want, think about what you need and make sure you understand the difference between the two. Confusing the definition of want and need is a common problem for buyers. Next comes the waiting game. The lack of inventory will test your patience. Be strong and remember that if you wouldn’t commit to a partner with only some of the qualities you are looking for, you shouldn’t jump to make an offer on a house just because it’s the first property in a month that even comes close to meeting your needs. Lastly, get comfortable with rejection. There really are 30 buyers for every home (sometimes more). Try not to let the sting of rejection cause you to make desperate offers without regard for your budget or your needs. It may take some time, but your patience and planning will eventually pay off. When it does, there won’t be a rose ceremony, but feel free to plant a rose garden in your new yard.