Strategies for buyers in a seller’s market

Buying a house in Denver right now is challenging. Multiple offers, high prices, and stiff competition are all part of the story.

Yet our biggest advice this spring is don’t be afraid to buy. You may have to compromise on some of your “wants” but making compromises you can live with is preferable to waiting. Buying is not going to get easier. 

Sitting on the sidelines and waiting isn’t a strategy we recommend. We don’t see prices coming down. They may start to stabilize as rates go up but then you’re still making the same mortgage payment every month because now you’re paying more interest. 

Here are 6 strategies to improve your chances of buying a house in today’s market:

• Be prepared with a lender letter showing you’re qualified for a mortgage.

• If you can swing it, make a cash offer.

• Set aside cash to cover the appraisal gap (difference between your home’s appraised value and the selling price).

• Waive the inspection (you still have the right to inspect but you don’t ask for anything).

• Be flexible with your timing; allow your seller to rent back if they need more time.

• Look at a slightly lower price point that allows you to offer more than the asking price.

Things are getting better. Month over month, inventory is slowly growing. As our historic low rates start to climb back up, we should see pricing begin to level off. However, it’s unlikely prices will drop. Waiting six months or a year before you buy doesn’t mean you’ll pay less for a house. If anything, you’ll probably pay more.

A market like this one takes patience. We can help you strategize and think through your options. We know the city well and can steer you into neighborhoods you might not have considered. We’ll help you look at a home and assess its potential. These nuances can make a difference. We’re a phone call away.