Real Estate FAQ Guide: Quick Answers to Common Questions

Real Estate FAQ Guide: Quick Answers to Common Questions

Navigating the world of real estate often comes with a lot of questions, whether you’re buying, selling, or just exploring your options. To help, we’ve put together answers to some of the most frequently asked questions about the process. 

Let’s dive into some of the most common questions we hear from clients!

1. How much should I offer on a house? Should I bid under, at, or over the asking price?

How much to offer on a house depends on the market conditions and your goals as a buyer.

Buyer’s Market: If inventory is high and competition is low, you might have room to negotiate and offer below the asking price. This is especially true if the home needs repairs or has been on the market for an extended period, which may indicate a more flexible seller.

Balanced Market: In a market with steady inventory and moderate competition, offering at the asking price is often a safe bet, especially if the home is fairly priced based on recent comparable sales and in good condition.

Seller’s Market: In a seller’s market with low inventory and high demand, bidding over asking may be necessary, particularly if the home is in a desirable location or there are multiple offers. Homes with unique features or in high-demand areas can often justify a higher bid to stand out.

Regardless of the market, always evaluate comparable sales (comps) to determine fair pricing, keep your budget in mind, and consider market dynamics like competition and interest rates. Tailoring your offer to these factors helps maximize your chances of success while staying within your financial comfort zone.

2. How long does the home-buying process typically take from start to finish?

The time it takes to find a home largely depends on the availability of inventory and the level of competition in the market. In a market with plenty of options and less buyer competition, you may find your ideal home quickly. However, in a competitive market with limited inventory, the search may take longer as you navigate bidding wars and fewer choices.

Once you’ve found the right home and your offer is accepted, the process typically moves to the contract-to-close phase. In our area, this stage generally takes 30-60 days, which includes time for inspections, appraisals, financing, and final paperwork.

While the exact timeline varies, working with an experienced real estate agent can help you stay on track and make the process as smooth and efficient as possible.

3. Can I back out of buying a house after making an offer?

Yes, you can back out of buying a house after making an offer, but whether you can do so without penalty depends on the contingencies outlined in your contract. Common contingencies, such as those for inspections, appraisals, or financing, provide opportunities to terminate the contract if certain conditions aren’t met. For example, if an inspection reveals significant issues or your financing falls through, you may have the right to walk away without losing your deposit.

However, once the contingencies are satisfied or waived, backing out could result in penalties, such as forfeiting your deposit. This is why it’s crucial to work with an experienced real estate agent who can help you fully understand the terms of your contract and ensure you know your options at every step of the process.

4. What happens if my home doesn’t sell within the listing period?

First, review your pricing strategy. The market may have shifted, or your initial price may not align with buyer expectations. A price adjustment could attract new interest. Next, evaluate the marketing plan. Are you reaching the right audience with professional photos, online exposure, and targeted advertising? Your real estate agent can help fine-tune the strategy.

You may also want to address feedback from showings. If buyers consistently mention issues like outdated features or needed repairs, making updates could make your home more appealing. Alternatively, you can extend the listing period or temporarily take the home off the market to reassess your approach.

Ultimately, partnering with an experienced agent who understands the market and can adjust your strategy is key to turning things around and achieving your goal.

5. Should I stay in my home or move out while it’s on the market?

Deciding whether to stay in your home or move out while it’s on the market depends on your circumstances and priorities.

Staying in Your Home:
If you choose to stay, it’s important to keep the property clean and show-ready at all times, as potential buyers may schedule visits with little notice. Staying can make it easier to maintain the home’s security and reduce the costs of moving or carrying two residences. However, it can also be challenging to balance daily life with frequent showings.

Moving Out:
Moving out allows your home to be staged for maximum appeal, making it easier for buyers to envision themselves in the space. It also gives you the flexibility to show the property at any time without disrupting your routine. The downside is the added expense of maintaining an empty home or paying for temporary housing.

While these insights are a great starting point, they’re not meant to cover everything. Every real estate journey is unique, and the best way to get tailored advice is to connect with an experienced agent who can evaluate your specific needs and the current market. When working with the Bill McGarrigle team, we strive to understand each of our clients unique needs and values in every transaction and tailor our proven approach to best match your goals!