of Million dollar list Star shares secrets to score big.
If you’ve given a casual thought to jumping into the real estate market lately, you already know it’s different than what we’ve seen in a long time.
House prices continue to rise (renting isn’t much better if you’re trying to put off buying) and demand for available properties is sky-high. Once a single home is on the market, it can immediately attract dozens of offers – many of which are far below the asking price.
The Covid-19 pandemic has brought about dramatic changes in where we want to live, what we want in our homes and how much we’re willing to pay for them, and there’s no sign of it slowing down anytime soon, says a celebrity. Real estate broker Ryan Serhant.
“It’s definitely moving faster than we’re used to, and a new skill set is needed,” he told KCM. “A classic quote I always tell my agents and clients is, ‘What got you here won’t get you there.’ The way you bought and sold real estate until 2020 will get you nowhere in the future because we’re not going back anywhere. We’re moving forward,” he said.
Serhant knows what he’s talking about. He’s sold $5 billion in real estate during his career, and he’s managed some pretty incredible properties.He’s the founder and CEO of SERHANT Innovations. (One of the most amazing places he’s ever seen, he tells us, is a condo he sold in “the only building in New York City with a residential car elevator.”)
It’s the kind of thing most of us can enjoy from our couches as we watch Serhant flaunt his incredible assets on Bravo. Million dollar list New YorkBut he’s got practical advice that works for anyone looking to make a move, no matter what your price point. Serhant called KCM recently when he was in between meetings to give us his best tips for people on both sides of the transaction.
Tips for buying a home in 2022
Know what you want
Sirhan: It’s hard to go house hunting and not know what you’re looking for, but that’s what most people do. You think you want four bedrooms, but that’s all you’ve really decided on. ‘Four bedrooms, lots of land and maybe in It is what he said. Camp – but I don’t know, let’s go.’ This is like going on Amazon and saying: I think I need clothes. let me see. So I try to sit down with the buyers and try to find out the essentials. And when you visit home, ask yourself: do you interact with him? Can you see yourself there? Does this tick the boxes you want?”
Avoid options that definitely do not work for you
Sirhan: I tell every buyer that buying a home is not a process of selection, it is a process of elimination. This is not a world where you think about driving around town and choosing many different options and then going home for a while. This is a process of first identifying the homes on the market that you don’t like, and we don’t go to those and then spend our time going to the ones that you know you want.
Decide how much you are willing to pay – and be ready to move forward quickly
Sirhan: When you think about what they have to offer, think of a number you’d be comfortable paying that you won’t have buyer’s remorse if you finish the house, but if you don’t, good luck to whoever did it, they paid more than they deserved. But keep in mind that buyers will lose their property for a nominal amount of money. In the grand scheme of things, an offer of $5,000 or $25,000 more makes all the difference to the seller when they factor in closing costs and their own moving costs.
Also consider your ability to buy. Can you really close? And can you make this offer permanent on your money management? If you’re pre-approved for a loan, that’s basically as good as cash because what a seller doesn’t want to do is accept a high offer that has all these contingencies and can’t even close. In the interest of time, the seller chooses a buyer who can close tomorrow without any questions being asked.
Don’t bank on the personal touch making a big difference with a low discount
Sirhan: At the end of the day, it all comes down to the dollar and the speed to close. A lot of buyers are writing letters and showing pictures of their families, and you can do that, but unless you’re looking for someone. Really Think about it, just because you have cute kids won’t win you the highest bid on a $100,000 house. A home is the biggest investment most people will ever make, and when they sell it they want to make as much as possible because they want that money to put toward their next investment in their next home.
If you’re a buyer with some added value, like if you have a local restaurant where it’s hard to get a table, or if you have floor seats for the local basketball team, I’ve seen some people throw these things away. as benefits. And while it’s often eye-catching, it still doesn’t matter if your bid is that low.
Tips for selling a house in 2022
Small improvements can go a long way
Sirhan: Scaling and painting can make a big difference. You never know what a simple coat of clean paint can do for a home. You may not see it because you live in it, but a buyer walking in has never seen your house before, and their eyes will immediately go to the fingerprints and scratches on the baseboards and the dog’s claws by the door. You want someone to imagine your home as theirs. You don’t want them to remember it’s your house because you have a pile of magazines and all those magnets on the fridge.
Then, if it’s to renovate, people talk about the kitchen and bathroom, and that’s all good, but it can be a lot of work at a big cost. I find that floors are a neglected item that people try to cover up carpets or rugs. But if you have floors that are old or really damaged, that’s the first thing your buyer will notice. They’re coming in and putting their feet on your floors, and they’re looking down as they do that. If the floors are good, that indicates a good house. If you’re really beat up, maybe this whole house looks like it needs work.
Consider selling your furniture
Sirhan: Pre-Covid, one thing we definitely didn’t sell a lot of was fully furnished homes. No one wanted to pay for someone else’s furniture. Now, the first thing I say to the seller is, “Are you going to sell this whole thing? And please do. Because of supply chain issues, people are willing to pay so they can earn a premium. Any idea how long it takes to find a couch? Now we have people renovating homes that have already moved in but haven’t been able to get the sub-zero they wanted for the last six months and are still using mini-refrigerators. They couldn’t find it in time, and it dictates the way people look at houses and what they buy.
How to know if someone is serious
Sirhan: Your average buyer will most likely be able to get a mortgage. If they have a pre-approval letter from the lender, it means they’re getting into the business of figuring out how much money they can afford. Now, does everyone really want to buy a home with a pre-approval letter? No, but if you haven’t taken that step – or are unwilling to – you’re no closer to making a decision.
You also have social media. You can learn a lot about a person on the Internet. If there’s no trace of what they’ve told you about their lives on social — especially LinkedIn — in relation to their work, you’re probably dealing with someone who isn’t being completely honest about their intentions.
But you can ask many suggested questions. Why do you want to buy? How much do you want to spend? Are you the only one making this decision? What is your timeline? If you have children, have you thought about schools? Ask the standard questions any buyer should know the answers to, and even if their response is, “We’re working on figuring this out now because our lease is up on May 1st, we have until April 1st to make a decision,” you know that person is genuine.