This blog was originally published in March 2021. Some event smentioned in this blog are no longer current. HOWEVER, as we enter 2022, demand is still quite high and inventory is quite low in the real estate market, making this information just as relevant today.

For many months now, Ontario real estate has been experiencing what we call a “seller’s market.”

Thanks in part to the pandemic, we have seen a surplus of buyers and a shortage of properties for sale. This gives sellers all the negotiating power as listings frequently draw multiple offers in a short amount of time or go off the market relatively quickly.

As a buyer, finding your dream home in a seller’s market can be a challenge. You have a lot of competition, but less selection. So what can you do to increase your chances of making the purchase on that new house?

Our short guide will give you some great tips to help you stay a step ahead as a buyer in a seller’s market.

Get preapproved for a mortgage

A mortgage pre-approval will tell you how much you are able to spend on a new home. Finding this out before you begin your search will save you a lot of time and hassle when deciding which properties you want to put an offer on as you will already have a definite spending limit in mind.

Make a strong offer

Remember that a lot of offers will be made in a short amount of time. If you want a chance of being chosen, then you need to make an offer that will please the seller. That means you need to offer more than the listed price.

It is also a good idea to offer a substantial deposit. How much you are willing to pay upfront can play a part in attracting the seller to your offer as well.

Don’t put things off

Time is of the essence in a seller’s market. Demand is high. If you wait too long, you may miss the chance to snap up that perfect place.

Schedule a showing to see a property as soon as possible. If you decide not to go see the house until the end of the week, the seller may accept an offer before you ever have the chance to make one.

At the same time, you do not want to take too long to submit an offer. If you know you want the house, send in the offer quickly to try to avoid competition.

Consider this: just this past week, we had a seller accept an offer less than 24 hours after the listing went up online!

There is no time to hesitate if you see something you want.

Include a personal appeal

One of the things that really sealed the deal on our quick sale was the letter that the buyers included with their offer, detailing their story and why they wanted the property.

This is an opportunity to add a personal touch to your offer. And don’t be afraid to get creative with it. Add images, make a video – whatever you like.

This is a really great touch that can set you apart and help the seller decide who they want to sell the property to.

When buying a home in a seller’s market, the most important thing to remember is that you need to be assertive – just don’t get too pushy. Get organized, move quickly, and make your intent known. At the same time, be flexible and agreeable. After all, you are dealing with other people who are also going through a big life transition. And the easier you make it for them, the better the experience will be for everyone.