This is part #1 of a three part series on Buying a Home in a Multiple Offer Situation. Contact me for a copy of the entire article; Bob@CardilloRealty.com
The real estate market is competitive right now. A lack of inventory over the last few years has pushed prices higher and created a challenging environment for buyers who are often up against multiple other buyers all bidding for the same property.
Here are eight tips to help you successfully navigate a multiple-offer situation;
1) Choose a REALTOR Who Knows The Market. Working with a real estate agent should always be part of your winning strategy. Good agents follow what is happening in the local market. They can tell you if homes are selling over asking price and/or over what appears to be current market values. They know what homes are selling for, what current trends are, how to set an appropriate value in the current market, and they can help you successfully negotiate the sale. An educated REALTOR is worth their weight in gold to you, and you will be glad for their advice throughout the entire process.
2) Make Your Offer as Attractive as Possible. Make your offer as clean and package everything to be submitted together in an organized way. A REALTOR will make sure that everything you need to make an offer is prepared and provided to the seller. The last thing you want is for the seller or seller’s agent to be looking for explanation from you, or asking you to provide missing information.
There are many “small items” up for negotiation during a home sale. Try not to ask the seller to pay for all of the smaller items. Make it fair and simple for the seller to see through your offer, arrive at the bottom line net proceeds to them, and choose your offer as the one they would like to execute. If you ask the seller to pay for every little item in the contract they may see you as “difficult” and pass right over your offer for another.
Cash is still king, but there are strategies to make an offer with financing more attractive. Do you have some money to use as a down payment? A larger down payment may show your willingness and ability to buy the home. A larger earnest payment or a larger option payment may show that you are less of a risk to back out of the deal later.
If the sale is contingent on the sale of your current home you should discuss strategies with your REALTOR. Having an executed contract on your current home is much better than being in the earliest stages of listing, or not listed at all. It may be in your best interest to sell first, and take temporary residence with friends, family, or short-term rental. Your REALTOR will help you decide what is right for you, and will discuss all of the risks and benefits of each option.
Part #2 coming soon !!!
CARDILLO REALTY GROUP
Brokered by JP & Associates REALTORS