7 New Rules for Buying a Home in Boston

The process of buying a home has evolved quite a bit, so if it’s been a while since your last purchase, check out these seven new rules for buying a home in Boston.

7 New Rules for Buying a Home in Boston

Over the past several years (and particularly since the COVID-19 pandemic began), the entire real estate playing field has shifted – and that means there are seven new rules for buying a home in Boston. Some are simply fresh twists on old standbys, but others are entirely new. Check them out:

Brush up your credit early
Get mortgage preapproval before you search
Shop below your budget
Prepare yourself to compromise
Act fast – lightning fast
Put your best offer forward right away
Be ready to make multiple offers

Here’s a closer look at each.

New Rule #1 for Buying a Home in Boston: Brush Up Your Credit Early

When you’re thinking about buying a new home for sale in Boston, provided you need to take out a mortgage loan to do so (most people do), it’s a good idea to make sure your credit is up to par. That’s because the higher your credit score is, the more favorable terms and interest rates you’ll qualify for. Lenders use your credit score as a gauge to determine whether you’re a good investment for them, and if a lender believes that you are a good investment, it’ll do what it takes to earn your business.

Though you can’t turn around a poor credit score overnight, you can make minor improvements day by day. Start by paying down high interest debt, and make sure you always make your payments on time period it’s a good idea to get a copy of your credit report and check it for errors, too. Thanks to the Federal Trade Commission, everyone is entitled to one free copy of their credit report each year, from each of the major credit reporting bureaus. You can get yours here. Alternatively, you can download an app (such as CreditKarma) to keep tabs on your credit score.

New Rule #2 for Buying a Home in Boston: Get Mortgage Preapproval Before You Search

Because homes can sell very quickly – sometimes within a day – it makes sense to get mortgage preapproval before you even begin house-hunting. Additionally, preapproval makes sense because it lets you know exactly how much home you can afford.

Usually, sellers won’t even consider an offer that doesn’t come with a preapproval letter from a lender. That’s because when you make an offer, you’re asking a seller to take their home off the market for you. If the seller can’t be sure that you’ll actually have the money to purchase the home, it doesn’t make sense for them to take that risk; every day their home is off the market, it’s unavailable to qualified buyers.

New Rule #3 for Buying a Home in Boston: Shop Below Your Budget

It’s always been a good idea to shop for homes below your budget. Doing so helps keep your monthly payments lower. But there’s another reason looking for homes below your maximum price range is smart these days: You may need some extra wiggle room if it comes down to a bidding war. Because homes are selling so quickly, and because sellers are getting multiple offers within a matter of days (and sometimes hours) of listing a home, you need to have as much leverage as possible. You may need to bid higher than you normally would in order to submit a winning offer.

New Rule #4 for Buying a Home in Boston: Prepare Yourself to Compromise

There’s no such thing as a perfect home, which means you need to be ready to compromise – especially if you’re in a position where you need to purchase a home. The best advice is to make a list of the features you absolutely can’t live without. Then, make a list of features you want, but that aren’t necessary. When you find a home that checks most of the boxes, it may be the right one for you.

New Rule #5 for Buying a Home in Boston: Act Fast – Lightning Fast

Most buyers don’t have the luxury of time when it comes to submitting a winning offer. Several years ago, it was perfectly acceptable to find a great home and take a day or two to decide whether to submit an offer. However, today, that’s far too long. If you find a home you like, you need to make an offer right away. Generally, sellers are looking at multiple offers within a matter of days – and any delay in making an offer on your part could cost you the purchase.

New Rule #6 for Buying a Home in Boston: Put Your Best Offer Forward Right Away

Real estate agents used to advise their clients to offer less than asking price for a home. These days, though, it’s usually a better idea to make your best offer right out of the gate. When homes are selling quickly, sellers typically choose the best offer as soon as possible.

Talk to your real estate agent about what makes a great offer; your agent may have some information that can help you seal the deal. Bear in mind that the best offer may not just be about money. Sometimes, sellers are looking for a buyer who will allow them to rent back the home until they purchase another one, who can be flexible with closing dates, or who wants to purchase with cash. Your real estate agent most likely knows (or can find out) what will help your offer get accepted.

New Rule #7 for Buying a Home in Boston: Be Ready to Make Multiple Offers

When you’re ready to buy a home in Boston, you need to be prepared to make multiple offers. Many sellers receive multiple offers in quick succession, but only one can win. If your offer is rejected, it’s tough to avoid stressing out over it – but If you’re flexible and adaptable, you’ll be able to quickly make an offer on another home (and another, if necessary). Your real estate agent will be there to help ensure you get your dream home, even if it doesn’t happen on your first try.

Are You Buying or Selling a Home in Boston?

If you’re searching for a luxury home for sale in Boston, or if you’re selling your home, we can help. Call 617-967-5271 or fill out the form below so we can discuss your needs. In the meantime, please feel free to browse our listings in the following communities:

7 New Rules for Buying a Home in Boston