The "FOMO" Market
You decide to sell so you call your favourite Realtor and list it at a price that a few years ago would have seemed like an astronomical number. Other agents start calling, appointments are made, and your Realtor is scrambling to get all the interested parties through the door before any offers are looked at after the weekend. Looks like another bidding war is brewing. Multiple offers come in on Tuesday. This can be a very exciting time for the Seller's as they realize the equity in their home has likely far exceeded their previous expectations. It can also be stressful and overwhelming having ten offers in front of you and you can pick only one. The RIGHT one. (This is where your Realtor should shine). On the flip side there are ten Buyers sitting on the edge of their seat that know the obvious. Only one offer will be chosen. Is mine the RIGHT one?
I've represented both sides of the transaction many times. Being on the buying side is definitely more challenging, to say the least. I've seen people get so frustrated they break down and cry. Not fun. It's my job to make sure they understand ahead of time how it all works and if they really want this house they need to give it all they have. No regrets whatever happens. It's also my job to keep them on track if they aren't successful with their offer. It's easy to want to give up, but you shouldn't. There is too much at stake. Looking back on past sales, some clients have felt they got caught up in the frenzy and overpaid for their home, but as a few years pass they are happy and relieved they bought when they did.
Fear Of Missing Out (FOMO) is a real thing. It is one of the major factors that drive this market. For many, they feel that it's now or never when it comes to owning a home in our region. After all, the average price of a single family detached home rose an astonishing 17% compared to last year. Land is limited and demand is always there. Prices are usually trending upward which makes for a safe investment. FOMO on the banks insanely low interest rates right now. Go back in time to the 1980's and tell someone that in 2021 you would be able to get a mortgage for under 1.5% and they would laugh at you all the way back to your time machine.
We are living in a crazy time. Who would have thought that during a worldwide pandemic we would be seeing rising prices and demand like this? If you are tired of looking at the same four walls and would like some more space to spread out in the safety of your own home, maybe now is the time to give in to that fear and take that leap. Seems like everybody else is.