Updated: Sep 14, 2021
Most areas of the country are experiencing a brisk real estate market. Well priced homes are moving quickly and often sellers have multiple offers from which to choose. How can you make your offer stand out and put you in a better position to get the home? Fortunately, there are a few things you can do to make your offer more attractive to sellers.
4 Tips for Making a Competitive Offer
1. Offer A Fair Price - When the market is moving quickly, this is not time to throw out a low-ball offer and hope they negotiate. Write an honest price based on market values.
2. Have A Pre-Approval Letter - It may not be enough to simply offer a pre-qualification letter. When issuing a pre-approval, the lender verifies your qualifications and an underwriter gives preliminary approval based on the actual home and a good appraisal.
3. Flexible Timing - Not everything comes down to price. A seller who is relocating might be more interested in an offer that gives them extra time to move.
4. Attractive Terms - Most offers include contingencies for items like appraisal, inspection, title, and loan approval among others. Working with your lender and real estate agent, consider removing any contingencies you don’t need. If you plan to remodel extensively, for instance, you might remove the home inspection contingency. This provides more confidence in your offer vs the competition.
The most important thing in a competitive real estate market is being prepared. Working with your lender and agent, you will understand your options and be able to write a solid offer quickly, putting you in the best position to have your offer accepted.