Five tips for buying in a sellers’ market
The property market is all about supply and demand. When the level of demand outweighs supply, the market favours the seller – this is described as a sellers’ market.
In a sellers’ market there are more buyers than properties for sale. The seller has the upper hand in the transaction which allows them to be picky. Buyers must compete for properties prompting prices to rise and increasing the chances of a bidding war.
According to HMRC, the number of residential property transactions in July rose by 32% compared to the same month last year. Here, we share our top tips to help you purchase your dream home in a sellers’ market.
1. Act fast
Never rush into a property purchase – it’s likely to be one of the most important (and expensive!) purchases of your life.
However, in a sellers’ market, it is necessary to act as quickly as possible when you find a property you like. Try to arrange a viewing immediately and, if you like it, put an offer in shortly after.
If you know the property is right for you, acting fast is key. If you don’t, the chances are someone else will!
2. Be Prepared
To snap up your perfect property quickly, getting your finances in order is a smart move.
A good understanding of the property market in your desired location and having a clear idea of what you should expect to pay will help you plan accordingly.
Have your credit score and refences prepared so that all that remains is for a bank or mortgage provider to agree to lend to you. Having a mortgage agreed in principle will make you even more of an attractive buyer and enable you to move quickly.
3. View off market properties
In a sellers’ market there is fierce competition and buyers have little purchasing power. Viewing off market properties drastically reduces the number of buyers vying for the same property.
An off-market property is one that is not advertised as for sale on the open market so you wouldn’t find these properties advertised online.
For guidance on off-market properties, contacting a buying agent is a sensible move.
4. Position yourself as an attractive buyer
With so many buyers competing for the same property it’s important to stand out.
Cash buyers and buyers who aren’t part of a chain are considered ‘power buyers’. Power buyers hold greater purchasing power and are more likely to muscle out competition.
If you own a property, having completed or exchanged on a sale before you make an offer to buy something new demonstrates your ability to move quickly. It is unlikely your offer on a property will be accepted if your current home is not even on the market yet.
5. Use a buying agent
Working with a buying agent can dramatically help improve your chances of purchasing a property.
A buying agent can assist with negotiations and can position you as a ‘hot’ buyer who is serious about making a property purchase.
A buying agent like Oxford Property Consulting can provide you with professional support and guidance in the hunt for your perfect property.
Using our extensive network of contacts and local knowledge we can unlock off-market properties and exclusive viewings for our clients.
Get in touch
If you are struggling to secure your dream home, contact Oxford Property Consulting’s friendly team today to see how we can support your search.
Email info@oxfordpropertyconsulting.co.uk or call 01865 553956 for further information.