After months of quarantining in the New York City which has been the U.S. epicenter of the coronavirus pandemic, more and more New Yorkers are sick of being stuck in small spaces and paying high rent prices. They feel as if they are stranded in a city they can no longer enjoy to the same extent, and are now looking to make the move to more open spaces in upstate New York.
While some are purchasing primary homes, others are buying up secondary homes, so they’ll know they’ll always have a safe space to go to when they need a break from the city life. Counties such as Sullivan, Ulster, Greene, and Delaware are seeing their homes for sale swept right up, even in the face of a pandemic. With this sudden skyrocket in demand, supply of homes for sale are falling. That means if you have your sights set on a new home, you may want to act fast and strategically.
How Important is Getting Preapproved?
With people flooding to upstate New York in droves, it’s now more important than ever to make sure you get a preapproval. When you get preapproved, you receive a commitment from a lender to finance a certain amount. This makes your offer very competitive, which is extremely important when you’re buying in a hot market. This will play a key role in boosting your chances of snagging that new home or upstate retreat. Reach out to us and one of our Loan Originators will help get you through the process. We make it simple to complete this process, so you’re ready to make a great offer on the home you’re looking for.
How Do You Handle a Bidding War?
Another side effect of low supply of coveted homes is bidding wars. With high competition, you should be prepared for the possibility of finding yourself in a bidding war. In order to be successful, there are a few steps you can take to bump up your competitiveness. First and foremost, make sure you get that preapproval since that may help lower your chances of ending up in a bidding war.
If you’ve done that and you still find yourself at war, consider offering to do your inspection immediately. This is attractive to a seller because it speeds up the process and means the seller won’t waste as much time.
If that doesn’t seem competitive enough, you still have more options to help your offer win. You can personalize your offer by writing a letter to the sellers about why you love the property so much. If you can humanize your offer and strike a chord with the seller, you might have a better shot at getting the house.
Finally, you can always increase your offer. This is most certainly your best bet if you want your offer accepted over someone else’s. Remember that it doesn’t always have to be a large increase as sometimes even just a few thousand dollars more can give you the edge you need. If you find that increasing your offer takes the price above the appraised value of the home, you might a larger down payment. Since a lender won’t finance any amount of money above the appraised value of a home, increasing your down payment will lower the amount you need to borrow. This allows you to increase your bid and still borrow the amount you need to purchase the home.
Buying a Home in New York
Outside of the city are so many beautiful areas to buy your next home. Whether you’re looking in the Capital Region or in popular areas south of it, you’ll need to prepare for a competitive market. Luckily, we can provide the support you need to successfully get you through the journey. We have financing available for all types of buyers, whether you’re looking for a primary or secondary home. We also have options for all kinds of budgets, so you can achieve your goals, no matter your budget. Our Loan Originators are looking forward to guiding you through the process and getting you into the home of your dreams. Contact us today to see how we can help you achieve your homeownership goals.