With a distinct vibe that blends city life and small-town Southern charm into a vibrant suburban community, Cumming is a dynamic place to live. Boasting Georgia’s #1 park system, premium dining, unique entertainment, and high-quality shopping, there is a vast array of things to do in Cumming that suit every lifestyle. With everything the city has to offer and its close proximity to the state capital, it’s no wonder that Cumming is one of the fastest-growing communities in the nation. So it also comes as no surprise when a highly desirable community faces low inventory in the housing market. If you are wondering what low inventory means for buying and selling homes in Cumming, this guide will offer an overview of what you need to know.
What is low inventory?
In real estate, inventory is essentially the number of active listings or properties for sale. Low inventory is when the number of listed houses is in low supply. A decrease in available market listings can be due to reasons like low housing turnover or a reduced supply of new builds, or a combination of reasons. Regardless of the reasons for low inventory, the situation is exasperated when there is strong buyer demand. Often, a seller’s market is created from the imbalance of buyers and sellers. This is supply and demand at its finest, which creates a competitive environment for buyers and drives up home prices. Predicting how long a seller’s market will last can be challenging, so what does this really mean for buyers and sellers?
Selling your home in a low inventory market
A seller’s market inevitably gives the seller a competitive edge when it comes to pricing. So if you have been considering selling your home, a period of low inventory is often a good time to do it. This may be especially true for homes that might be more difficult to sell in a traditional market, such as those with unusual features, fewer bathrooms, or less land than their otherwise comparable competitors. Of course, unless you plan to move into another property that you already own, you will be not only a seller but also a buyer looking for your next home. Therefore, it is essential to do your research and determine if now is the right time to sell. You will have to consider how quickly you can find a new home and how much you are willing to spend.
Attracting multiple offers
During these periods of low inventory, homes often get multiple offers, and it is not unusual for an offer to exceed the asking price. It is also common for a newly listed property to go to pending status in a matter of days or even hours in some cases. To increase your chances of receiving multiple offers, there are a few things you can do.
Finding an experienced agent
Preparing your home
You will need to invest in a professional cleaning service that specializes in cleaning a house to prepare for sale. They can do a more thorough initial cleaning than many traditional house cleaning services and can be scheduled to prep for showings as well. Also, consider taking your agent’s advice for any home repairs or upgrades and professional staging if necessary, especially if they are features that will be prominent in photographs for the listing.
Trust your agent’s marketing strategy
Real estate agents understand the real estate market, and they know marketing. Their strategy is developed based on local trends and their extensive experience successfully helping many satisfied clients buy and sell homes. Ask about their marketing strategy up front, and they should be willing to discuss how they market homes and why their techniques work.
Buying a house when inventory is low
Buying a home is a significant investment, and it can sometimes feel intimidating to navigate real estate as a buyer in a seller’s market. However, if you are interested in buying a home when inventory is low, there are a few tips you can follow to increase your chances of finding the right home at the right price.
Get pre-approved
If you intend to take out a mortgage for your new home, take the time to get pre-approved before you start house hunting seriously. When you have a pre-approval letter showing the amount for which you are approved, it shows your credit and finances are already verified. You do not have to take time to secure a mortgage for a home you like and risk losing it to someone else who is ready to go.
Be patient but prepared to move quickly
Low inventory can mean that it might take more time to find a home that meets your specific needs. The competitive nature of low inventory also means that desirable homes get snatched up quickly, and it may take a few tries to have your offer actually received by a seller. That is why it is essential to proceed quickly when you do find a home you like. If a listing turns up that meets your needs, do not hesitate to view the property right away, and be prepared to make an offer quickly. The quick turnaround on listings is why it is crucial to know for sure what features you want in your home and to have that pre-approval letter.
Work with an established agent
There are many reasons to work with a real estate agent instead of trying to buy a home on your own. Especially for a first-time homebuyer, or any buyer in times of low inventory, it can take a lot of work to navigate the real estate market. Take some time to interview potential real estate agents to determine how long they have been in real estate and worked in your desired community. An initial interview will help you understand how they operate, how they’ll help you stand out in a sea of offers, and if your overall personalities will work together during this journey. Once you find the right agent, you will quickly understand how valuable they will be during the entire process.
Market knowledge
Real estate agents have extensive market knowledge and understand the demands of trying to buy in a seller’s market. They will know if a home is underpriced or overpriced and can often predict if a house will hold its value in a neighborhood. This can be very valuable information when you are making a significant investment like purchasing a property. Agents are able to give you expert pricing guidance, which can help you during negotiations. In addition, agents who have been in a community for a lengthy period of time have a store of local knowledge. They will be able to inform you of which schools are the best and where to find the favorite local Cumming restaurants and small businesses. They can also discuss neighborhood trends and what upcoming projects are happening that may affect your property in the future.
Professional connections
An established real estate agent will have an extensive network of professional connections throughout Cumming and other areas of the Atlanta metropolitan area, Georgia, and beyond. This network can give you a competitive advantage because an agent often hears about an unlisted property that fits your needs perfectly. As a result, they can sometimes secure you a viewing before a property even hits the market.
Negotiations
Real estate agents are skilled negotiators and often thrive in this role. Your agent is supposed to work to put your best interest ahead of their own interest and will work to negotiate you a good deal. This is especially important when a seller’s market creates multiple offers and drives up the prices of homes. They know what it takes to compete in a seller’s market, and they will develop a strategy that gets you noticed as a buyer. This could mean looking at concessions or contingencies that make things easier or more convenient for the seller. Even when the price is right, other there are other ways to get a seller to choose your offer. You need an agent with experience and tenacity to relieve you of this pressure.
Navigate Cumming real estate
If you are ready to explore Cumming real estate, contact The Happy Homes Team today. Whether you are a first-time homebuyer, looking for a second home, or you are ready to sell your house, The Happy Homes Team is ready to serve you. Dedicated, friendly, and tenacious, the team will work closely with you to help you navigate your real estate journey every step of the way.
