Homer thinking hard about his next home purchasing strategy
When buyers want to purchase real estate and there’s not too much being offered, losing out on offers can be frustrating. What I want to discuss is how to maintain a calm and positive frame of mind while looking for property so that you will not give up.
What low-inventory housing market really means
When buyers enter a low-inventory market, that means the choices they have in selecting a home is limited. Their selections are not only limited; other buyers will have the same limitations. Buyers with a higher purchase power will likely “beat” other buyers because they will often be the highest bidder. But those buyers who are constrained by their preapproval letter (i.e. showing them their maximum purchase price) will need strategies to stay sane during their home buying process.
What discouragement really looks like
You might be asking: Why do buyers need to check in with their sanity while searching for a home? The answer is this: if you offer on 30 homes and get 30 rejections, you will feel pretty discouraged. You will like the cards have been stacked against you and that you don’t stand a chance.
While this may be true, negative attitudes often do not yield good results. Even worse is that negative attitudes about the future may cause the future to be just what you predicted!
The solution
That is why I tell all my clients to keep a positive attitude and only be emotionally invested in a house after the offer acceptance. This single piece of advice has kept my clients strong and willing to keep trying.
The second most important thing I tell my clients is to “play the numbers game.” The numbers game means that if they keep trying, statistically they should get 1 acceptance about of 20-30 rejections when submitting offers. While I hope to get my clients a house much sooner, it’s important to keep the expectations low so that buyers stick with the program and have the long game in mind.
In summary, getting rejected over and over again when offering on property can be discouraging, but the discouragement can be thwarted by keeping a positive attitude and playing the numbers game.