There's an art to buying homes, and while there are certainly exceptions to every "rule," you can increase the probability that your offer will be accepted if you do your homework.
Our team works hard to provide clients with as much information as possible once they've found their dream home to help them make strong purchase offers.
While factors like length of time on the market and price decreases are certainly important data points to know when writing a purchase offer, it's always a good idea to work with the seller's agent to determine the homeowner's reason for selling. Here are some of the things we help you determine to make the right offer for you:
- Have the sellers found a new home?
If so, they may be in a time-sensitive situation, which might make a quick close offer appealing. Cash buyers have the advantage in these situations since there won't be financing snags that threaten the deal. Buyers also may need to avoid asking for complicated repairs that could slow down the sale.
- Are the sellers moving to a new city?
Sellers relocating to an entirely new city often need to act fast, but it also could mean they are receiving temporary housing or other relocation support from a new employer. This could lessen the pressure and help them stick to their asking price.
- Does the family need more space?
A bigger house usually means a higher price, and it might mean there's less wiggle room on the sales price. Offering full price or slightly over could be the ticket to having your offer accepted in this situation.
- Are the sellers downsizing after raising a family in the home?
People who have lived in a home a long time are often emotionally attached and potentially less likely to budge on price. In this case, we often advise buyers to write a personal letter declaring how much they love the home and how they hope to raise their own children there. Downsizing sellers often are not in a "fast move" situation, so if you want to move the sale along, a strong offer, along with the compelling letter, may do the job.
- Other ways to make your offer stronger include:
- Get pre-approved for a mortgage. Pre-approval is a step beyond pre-qualification, meaning your loan is in place just waiting for you to find a home.
- Keep contingencies to a minimum. There's usually no need to make the purchase contingent on the sale of your current home, since your ability to acquire financing will be a contingency, and your financing may not go through if your current home has not sold.
- Set a deadline for a response. Show respect, but give the sellers just enough time to think about it: 24 to 48 hours is plenty. That helps limit the time other offers can come in, and it may get you a signed deal (or counter) fast.
- Offer to buy the home "as is" barring major issues that arise from the inspection. That signals to the seller that you won't be asking for small repairs (a drippy faucet), and if major problems arise, you can still walk away, as long as the inspection occurs within the mandated time frame.
- Be prepared to pay more than your initial offer. If you make your "best and final" offer first, you have nowhere to go should the seller counter at a higher price.
Choosing the right agent to work with you on your home search and purchase makes all the difference. Contact SheriGoldman.com. We are the real estate team that will go the extra mile for you.