How To Buy A Home When Inventory Is Low In The Twin Cities

Thanks to low interest rates and the ongoing pandemic, many real estate markets across the country are experiencing low inventories. Naturally, the Twin Cities market is no different. There simply aren’t that many homes for sale in the Twin Cities at the moment, and that can make things difficult for those looking to buy a house in the area. On the other hand, it isn’t impossible. There is something out there if you’re willing to seek it out, but you have to play your cards right if you want to buy a home in this market. Here are a few tips that will help.

Have Your Finances In Order

If you’re going to buy a home, you need to be financially secure first. This should be a given no matter what the market looks like, but it’s especially important now that the inventory is low and you don’t have as many options. Get pre-approved for a mortgage, and don’t even think about entering the market unless you have a solid down-payment and a reputable loan.

Be Realistic

While first-time home shoppers like to think they can buy their dream house right away, this often isn’t the case. Most homeowners don’t end up with the “perfect” house, mostly because they don’t have unlimited funds at their disposal. When you shop around for a new home, be realistic about what you can afford. Be prepared to make compromises and accept that you won’t be able to move into a gigantic mansion in a rich neighborhood. Chances are much better that you’ll end up in a more modest house that might require some work before you can call it your “perfect” home.

Start your housing search by getting pre-approved for a loan, and take a look at what you can comfortably afford as a down payment. That will give you an idea of what you can afford. Once you have a budget in mind, stick to it as closely as you can. Don’t think you can splurge on something a little more extravagant; it’s safer to assume that you won’t be able to afford something like that.

Be Ready to Move

Since there aren’t a lot of homes for sale in the Twin Cities right now, you have to be ready to accept whatever comes your way. You don’t need to be too impulsive, but you can assume that anything that is currently on the market won’t stay there for long. When something is available, put your best offer forward, prepare for a relatively short negotiation period, and be ready to close the sale and move in within 30 days or so. It might feel like you’re acting a little too quickly, but as long as you paid a fair price for your home and you’re happy with it, that’s really all that matters.