Realtors help buyers find homes in low-inventory markets

The summer season means a growing number of Americans are on the hunt to purchase a home, but many could have trouble finding a home to buy. While some wouldbe homeowners face challenges when it comes to obtaining financing, a greater obstacle may face them when house hunting: the lack of homes for sale.

This fact speaks to the tightened inventory conditions we are currently experiencing both nationally and here in the Miami Valley. There simply aren’t enough homes available to purchase – predominantly at the low end of the market, where first-time buyers are most likely to shop.

There’s more demand than inventory, which has pushed up home prices. People often spend countless hours going through the process of obtaining a loan and locating their perfect home only to find themselves competing in a bidding war.

Here in Dayton, the market remains very tight. Housing inventories were very low in May, falling to 3,356 existing homes available for sale; this represents only a 1.9-month supply, down from a 2.5month supply in May 2018. This supply figure means that if no other properties are added to the market, it would take only 1.9 months to sell them all.

Generally speaking, a housing supply of more than six months is needed for a balanced market between home buyers and sellers. As the year continues, we may continue to see a balancing act between housing inventory and price growth. More inventory and increased new-home construction will help to foster healthy market conditions.

What should potential buyers looking to enter the market now do to increase their chances of finding their dream home?

■ Buyers need to carefully evaluate their finances and get prequalified or preapproved for a mortgage. This will position you to be able to make a firm commitment to buy and your offer will be more appealing to the seller.

■ Making a clean offer with as few contingencies as possible can also help buyers who find themselves competing with multiple bidders. The best offer isn’t always the one with the highest price. It’s the one with the fewest hassles and restrictions. Eliminating or reducing the number of contract contingencies can help make your offer stronger.

■ Most importantly, work with a Realtor. Prospective buyers should look for a Realtor who is familiar with the areas and neighborhoods they are considering. A Realtor’s unique knowledge and insight to local markets can’t be replicated by simply searching online. They can provide valuable advice, discuss listings, show you homes in person, negotiate on your behalf, guide you through the difficult process of inspections and help you stay focused on the emotional and financial issues that are most important.

Consumers who want the most accurate, up-todate property listings in their area will also benefit by working with a Realtor. They have access to the Multiple Listing Service, a valuable marketing tool for homes on the market. Your Realtor can establish MLS search criteria that sends you automatic emails of listings as they come available.

While there are other sites where a buyer can do this on their own, in many cases that information is 48 to 72 hours old by the time they have access to their dream home. So if you’d like to start your home search today, there’s no better place to start than by contacting a Realtor.