Did Someone Say Summer Slow Down?
Sep 01, 2022 brooklyn,brooklyn real estate,brooklyn realty,real estate agent,real estate agents,real estate market
How To Take Advantage of Today’s Unique Real Estate Deals
Normally in the world of real estate, summer is booming. But this year, because of record-high home prices, rising interest rates, plunging cryptocurrency and stock markets, and potential layoff concerns, we’re feeling a different vibe. Things are slowing down because a significant percentage of the population just can’t keep up. But if you’re one of the lucky few who have been economically unscathed, you’re in luck. It might be the perfect time to purchase your new home.
A few benefits that almost every home purchase this summer can benefit from include:
- Less competition
- Sellers who are willing to negotiate on price
- Cash offers bring the opportunity to bargain aggressively
And below, we’ll dig deep into some of the best tips to find your next home at a deal during this unexpected slowdown.
#1: Look for Pressured Developers
Just as we weren’t expecting this much of a slowdown, developers who have been building homes for summer sales were even more blindsided. Luxury condos, especially, are on the decline, and their builders have quotas to meet as soon as possible to declare their offering plans effecting.
These companies may be willing to make you a deal. To see how desperate they are, ask two questions: “Has the offering plan been declared effective?” and “How many units do you still need to be effective?”
#2: Work With Motivated Sellers
If a seller is moving across the country or buying a new home in a few weeks’ time, they may be willing to cut you a deal simply for working with their timeline. This is a great area for your real estate agent to feel out — if they sense some pressure to sell quickly, go in aggressively while still asking for a percentage of the purchase price off.
If a seller needs a rent back or extended close date, you may be able to save some money by working with them in the other direction, too.
If it’s not a timeline issue, consider forgoing the inspection (if it’s safe to do so) or letting the sellers keep their favorite light fixtures or appliances.
#3: Check Out Homes in Every Location
You may have your heart set on a specific location and miss your dream home at a discount just down the road. Luckily, Brooklyn has some of the best deals in New York right now. We have new residents coming over from all over Manhattan and other popular spots. They love our neighborly feel, as well as incredible cafes and restaurants.
But the main point of this tip is to be open to where you buy. Snagging a good deal could take some extra searching, but your real estate agent can help you out in this area once again.
#4: Grab a House That Requires Hard Work
Houses that need work often linger on the market and are therefore much more likely to accept offers that are under the asking price. Be sure to price out repairs ahead of time to make sure you’re still getting a good deal after the job is done.
#5: Use Cash If You Can
As we mentioned in our quick tips, cash is closing tons of sales at discounted prices these days. Sellers appreciate the ease (and guarantee) that comes with not having a loan to close. You’ll be getting a great deal in the payment method itself with all of the interest you’ll avoid paying in.
#6: Seek Out Estate Sales and Sponsored Co-Ops
Both of these scenarios once again show that the seller is desperate for a way to get out. And sponsor co-ops typically don’t need board approval, which is a great way for non-traditional applicants to earn their way into a home.
All in all, if now is your time to buy a home, be sure to take advantage of the slower season. Using any of the above tips will give you a good chance of closing with a much better deal than you would have gotten a few months back. Plus, working with experienced agents (like us!) can help you weigh pros and cons & find your dream Brooklyn home.