What do I do now?
If you are a buyer, looking to buy a home for the first time, what can you expect?
First, you get pre-qualified or pre-approved.
After you know your price range and decide on the area that you want to live in, you go out with your agent to look for homes. Southern California is still a market place where inventory is extremely low. It will not take you more than 3 outings to see everything on the market within your price and area.
After seeing everything, you decide if one of the ones you saw is something you can see yourself living in for the next 3 years. In the past, records show people on the average move every 7 years. Now it is 3-5 years. So your decision probably does not have as much pernament impact as you may think.
If you do not like anything you saw, you can expand your criteria, either a different area or look in a higher price range, or decide that a one bedroom is acceptable rather than the preferred two .
If you do not want to expand your criteria, then you wait and go look at houses as they come on the market. This is assuming you have no time frame for your purchase.
If after seeing all the houses, how do you decide if you should make an offer?
In the old days, my clients can be picky about amenities, such as “I must have a fireplace” or “The bedroom has to fit my big poster bed.” If the house has everything but a fireplace, they can shop for a house with everything including a fireplace.
The market now does not really allow you to be too picky due to the lack of inventory to choose from. Because prices are high, it is the #1 limiting factor. Because commute traffic is horrendous in my area, how far you are willing to drive is the #2 factor. You can see how just these two aspects will limit your search. Let’s not even consider the fireplace.
So if there is a house that is within your comfort zone to live in, do not hesitate to make an offer.