Are you attempting to buy a house or New Homes for Sale New Jersey in 2024 and finding it a daunting task? Are you possibly making some major mistakes along the way?
If you’ve been paying attention to the New Jersey real estate market in Monmouth County over the past couple of years, you know we’ve been in an intense seller’s market. The pressure is immense. You need to decide within moments of seeing a home whether it’s the right fit for you.
In fact, sometimes you have to decide even before seeing the house. Your agent needs to prepare all the paperwork in advance because there are already 12 offers on the table, with the highest and best due by Tuesday at noon. It’s Monday, and there’s only one available time slot to view the property—Monday between 1 and 1:20. No exceptions, even if you’re working.
Who needs this kind of stress? You’re forced to consider waiving appraisals, skipping inspections, closing in 30 days, or putting down over 20%. It almost feels like you might need to offer up a kidney. Yes, that’s not a joke—I recently offered one as part of a deal for my client. Desperate times indeed.
So, are you doing everything right and still not winning bidding wars or securing a home?
Could you be making these mistakes without even realizing it?
- Taking Too Long to Decide: This is a monumental decision, and ordinarily, I’d advise clients to go home after viewing a house, weigh the pros and cons, discuss it with family, and sleep on it. But in today’s market, that’s no longer feasible. Offers can start pouring in by the time you reach home. If you’re serious about finding a home, you must be prepared to act swiftly—literally.
- Not Offering Your Highest and Best: In this new normal of real estate, gone are the days of low-ball offers followed by negotiations. In a competitive market like this, sellers hold all the cards. Remember when people negotiated on house prices? Those days are largely gone. Sellers are now looking for the highest offer with the best terms and conditions. I always advise my clients to put forward their highest and best offer right from the start—this is your one chance to shine.
- Learning from Past Offers: If you’ve made multiple offers without success, it’s crucial to reflect on why. What went wrong? Are there aspects you can change, such as terms, deposit amounts, or making quicker decisions? If you’re not finding suitable homes to bid on, it might be time to pause and reassess your expectations. Sometimes, after several months of searching, you realize what you’re seeking might not exist. Did you take the time to understand why your previous offers were turned down? Asking your agent for feedback can make your next offer stronger.
- Not Being Pre-Approved: This is standard practice regardless of market conditions, but in today’s competitive environment, you should have already met with a lender and obtained pre-approval. Don’t even start house hunting without it. Better yet, familiarize yourself with the documents your lender will need once you find a home so you can gather them in advance. Having your paperwork ready can make a significant difference when it comes to securing a home. Without pre-approval, you’re wasting everyone’s time, including your own—no seller in New Jersey will entertain an offer without a pre-approval from a reputable source.
Remember, the market won’t stay like this forever. Eventually, things will balance out. If you’re a buyer in Monmouth County, take a moment to breathe. Ensure you’re fully prepared before diving into the process and that you’re working with a trusted realtor. This market is challenging, and having an experienced agent by your side can help navigate these turbulent times. I firmly believe the perfect home is out there for everyone; sometimes, the journey to finding it just has a few bumps along the way.
