TIPS to Purchase your dream home in a SELLERS MARKET in Halifax

What exactly is a seller’s market?  I know when I kept hearing this, all I knew is that it was good for a seller but quite did not understand the jargon.

A seller’s market essentially is when we have more buyers than there are homes to purchase. Currently in Halifax, the inventory has been its lowest in over a decade.  With supply in demand we are seeing more and more competing offers.

There are several reasons for our growth as a seller’s market in the Halifax.

• Many are keeping their homes and refinancing for renovations
• Some have kept their homes and are turning them into Air BnBs
• Seller’s fatigue from years ago when trying to sell, may be still a concern, causing them not wanting to list as their home was on the market for more than 6 months in the past.
• With low inventory sellers do not want to take the risk of having no where to live.
• The city has been slow issuing permits for new construction.
• The bank has made it more difficult for builders to get financed.

The above are the ingredients for the perfect storm that has led to many successful sales.

So, as a buyer what can you do to get a home in this market?

1. Have your agent scout online with others in the industry to see if the have “pocket listings” of homes waiting to come on the market.
2. If you find yourself in competing offers, you will need to place a bid above asking.
3. Have your mortgage preapproved with your broker before submitting an offer.
4. Have your current home under contract with an offer.

At the end of the day, a good strategy is to have a plan B.  No ones wants to purchase a home just for the sake of purchasing a home.   You may find yourself having to rent. 

One other strategy I have used was to have my sellers purchase new construction.  Most times the build is 7 months out.  2 months before completion, I plan to list their homes, so it is a seamless transaction, with just the one move.

If you are thinking of selling or buying, I would love to help.

Sandra Pike

Halifax Real Estate

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