For the right buyer, purchasing a home over the holidays can be ideal. In addition to competing against fewer buyers, you’ll finish the season off with the greatest gift of all — a new place to call home for years to come. Here are four insights you can use as you purchase a home in Minnesota or western Wisconsin this holiday season.
1. Move quickly
The holidays are typically a less popular time to buy a home, but you shouldn’t assume this means you are without competition. Holiday buyers are often more dedicated to getting to the closing table quickly, and multiple offers are still possible due to limited inventory in many areas.
Be prepared to move quickly on a home that meets your criteria, as homes in our local 16-county metro area sold in an average of just 35 days in the month of October.
2. Make a strong offer
You might think that people selling over the holidays may be desperate to move and willing to accept an offer for well under asking price. While Scrooge would approve of this philosophy, sellers still hold an advantage this holiday season.
For more than a year, sellers in our local market area have received between 99-100 percent of their original asking price. This trend is expected to continue throughout the winter. To avoid losing a home you love, make sure your initial bid is competitive. Your REALTOR® can help you formulate the strongest, and most appropriate, offer.
3. Keep an open schedule
It can be difficult to slow down during the holidays, but in our fast-moving market, you’ll need to work around seller schedules. Whether you find a house through online searches or your Realtor sends a hidden gem your way, your goal should be to see it in person as soon as possible. Keep your schedule open and flexible so you don’t miss out on the right property.
4. Don’t overspend on the holidays
It’s tempting to go all out for the holidays but it’s important to keep your spending low as you apply for a home mortgage loan. To ensure you get the best interest rate and loan amount, don’t open any new credit cards and steer clear of racking up debt on any existing credit cards. And this probably goes without saying… but this is not the year to unveil a Lexus with a big red bow to your spouse. Leave that to the actors in television commercials.
Ready to find the one this holiday season?
If you’re hoping to get a head start on buying before the spring market arrives, start now! Reach out to Edina Realty or your agent to get started.
*Data courtesy NorthstarMLS for the 16-County Twin Cities metro area for October 2020.