If competition is a buyer’s biggest concern, for goodness’ sake, get in the game. In a recent survey of close to a thousand home buyers, affordability is still the number one concern but due to low inventories, competition from other buyers is moving its way up the poll.
26% identified affordability while 19% mentioned competition and 15% mentioned low inventory as their respective top concerns. To win, athletes study the competition to come up with a plan and buying a home is not different.
1. Ask what terms are important to the seller before you write the offer.
2. Once you decide to make an offer, do it as fast as you can, hopefully, to be the only one the seller is considering.
3. Make a good (or possibly, your best) offer in the beginning; you may never get a chance at improving it. In highly competitive situations, offer above the list price.
4. If you have to get a loan for the property, attach your pre-approval letter from a respected lender. This means you’ll need to get pre-approved before you even think about writing an offer.
5. Have your lender call the listing agent to reassure them of your ability to qualify for the Mortgage.
6. Include a higher than normal amount of earnest money to show you are serious.
7. Eliminate unnecessary contingencies.
8. Write a personal, hand-written letter telling the seller what you like about their home and why you want it. Consider including pictures of your family.
9. Minimize seller expenses paid for the benefit of the buyer.
10. Shorten inspection times.
11. Don’t ask for personal property.
12. Be flexible on closing dates to accommodate the seller’s move.
13. Listen to Your Realtor! They work in that Market Environment everyday. Their job is to get your the best price and the best terms. Let them help you!
Once you find your dream home, don’t take a chance on losing it. Write a winning offer that will be good for both the sellers and the buyers.