VA Home Buyer - HOT HOUSING MARKET Rochester, NY

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Since last year, I was pre-qualified but lost out on offers for two homes, each with over 20 offers. In one instance, I offered $125,000 over the asking price and still lost. Rochester, NY, has become one of the hottest housing markets, attracting many remote workers from NYC due to its affordability. However, this influx has led to a surge in home prices, making it difficult to compare our market with other cities in the U.S.

I found a lender and an agent, but the competition remains fierce. The challenge lies in the fact that everyone is paying way higher than the listing and comparable prices for homes in the area. With my current offers having to be subject to a VA appraisal, structuring an offer with competitive terms and conditions is particularly difficult.

I wonder what insights you all might have. Yes, covering appraisal gaps is an option. But as this is my first home purchase and I'll need some liquid cash on hand for renovations, competing against all-cash offers, plus their willingness to pay well over comparables in the area, is challenging. This situation is especially tough for VA home buyers like myself, who may need to cover an appraisal gap of potentially $10,000 to $20,000 under the appraised value.