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Editor’s Note: This story originally appeared on The Penny Hoarder.
The hot real estate market of 2021 shows no signs of slowing down in 2022, according to a recent study released by Zillow.
That’s especially true in the South. Nine of the top 10 forecasted hot markets are in the Southern U.S., with Tampa leading the way. Jacksonville, Florida; Raleigh, North Carolina; San Antonio, Texas; and Charlotte, North Carolina, rounded out the top five.
Zillow’s rankings took into account a variety of factors, including strong forecasted home value growth, high job growth, fast-moving inventory and a high volume of interested buyers.
Zillow also said these top 10 markets have historically been unaffected by rising interest rates and a slowing stock market – risk factors in both the economy and real estate market.
Zillow predicts the growth in home prices will jump 14% through November 2022, meaning another year of real estate madness across the United States.
So if you plan to buy or sell a house this year in one of these hot seller’s markets, what does this mean for you?
Here are six suggestions.
1. Get a Pre-Approval Letter
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Financing matters, especially when a seller is dealing with multiple offers.
A pre-approval letter is simply a notice from your bank that they would approve you for a mortgage, and it tells the seller that you actually have the funds to back up your offer. This takes a little more work on the front end, because these letters can take a little time to get, but it’s well worth it.
Simply hand that letter over to the seller’s agent, and they’ll have immediate confidence in you as a buyer. For sellers, you’ll know that an offer isn’t going to fall through.
2. Don’t Go at It Alone
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We highly recommend using a real estate agent, whether you’re buying or selling.
In a seller’s market, it’s really easy to get wrapped up in the moment and cave in to a bad deal. A good real estate agent will keep you grounded in reality. They’ll also save you a lot of time and money. They’ll take care of all the heavy paperwork, and they’ll be your spokesperson in negotiations.
Not only that, good real estate agents have plenty of connections within their local market. Many will know of houses that are coming on the market before they’re featured online. This could give you a great advantage in putting in offers. Some …….