It’s the never-ending saga of homebuyers everywhere: Just when you start looking for homes for sale in Austin, TX, or here in Nashville, TN, prices seem to be booming and you’re stuck trying to buy in a seller’s market. House hunting is hard to time perfectly, and sometimes it’s impossible to avoid buying in a hot market.
But don’t let the fear of tough competition send you into a panic. Avoid falling into one of these traps when shopping in a hot real estate market, and you’ll likely save yourself some money (and a few gray hairs).
1. Acting out of desperation
It’s hard not to be let down when attractive homes are taken from “new” to “pending” before you even have the chance to look at them, but remember: Desperation has no place in a home-buying transaction.
Once desperation sets in, you risk making an impulsive and otherwise unwise decision, such as talking yourself into a home that isn’t quite what you really want or paying more than you can afford. Even if you can’t or don’t want to make an offer, every home you research and visit will give you a better insight into the home-buying process and the market and allow you to refine exactly what amenities you want in your future house.
Once you know exactly what you want, let others know too. Give your contact information to the listing agents at open houses and ask them to drop you a note if they get similar listings.
What’s worse than seeing great properties come and go before you can get out to view them? Seeing them placed under contract before you make an offer.
Before you walk into an open house, make sure your paperwork is up to date and your loan approval hasn’t expired so you’re in position to make an offer that day. If you haven’t already gotten a loan approval, it’s time to start the loan approval process, stat.
Continue reading on Trulia for the final three tips.