FORT WAYNE (WANE) – Buying a home can be a stressful process. In the current market, it is extremely difficult because there are so few houses available. The Upstate Alliance of REALTORS (UPSTAR) shared stats with WANE 15.
The graph below shows the percent of list to sales price for Allen County home sales. Through November of 2021 that number is 100.1%.
UPSTAR’s 2022 president Joel Essex told WANE 15 that the overwhelming majority of homes that hit the market are gone in 0-3 days and sell above asking price.
It’s a benefits to sellers, but it’s hurting first-time buyers looking to purchase a home.
“It’s an unfortunate situation for anybody hoping to enter the market as a first-time buyer,” Essex said. “They’re doing all they can to save, even the minimum down payment.”
Ray Muyanja and his family just bought their first home. He said they looked at 15 houses. They made five offers, but lost out on all of them.
“Most of the houses were only on the market for like one day. So, by the time you write your offer, the house is already gone. Even then, there are really few nice houses. I was looking for a house where I didn’t need to renovate or do anything to occupy the house. That was quite hard to get,” Muyanja said.
His family finally got a home on their sixth offer, but he had to make the offer “considerably higher” than what the seller was asking for. Muyanja said his family is growing and they’ve had to realign their finances just to get their home.
“Well, it is [frustrating]. You don’t have an opportunity to really explore it or examine it. The days on the market are so shortened right now. They don’t have a real competitive edge if they are a first-time buyers or a zero-down buyer. You may look at 8, 10, 12 houses before you’re able to put something together in successful ways,” Essex said.
Essex and Muyanja both would advise anyone looking to purchase a home for the first time to work with a REALTOR.
Essex says a REALTOR can help make your offer stand out more to a seller with the way it is structured. He added they can also help you avoid mistakes.
Muyanja said his REALTOR guided him through everything and was very helpful with completing all of the necessary paperwork.