Tips for Making a Competitive Offer
So, you’ve been searching for that perfect house to call ‘home,’ and you’ve finally found it! The price is right, and in a competitive market, you want to make sure you make a good offer so that you can guarantee that your dream of making this house yours comes true!
Below are 4 steps provided by Freddie Mac to help buyers make offers, along with some additional information for your consideration:
- Determine Your Price
“You’ve found the perfect home and you’re ready to buy. Now what? Your real estate agent will be by your side, helping you determine an offer price that is fair.”
Based upon key considerations (like similar homes recently sold in the same neighborhood or the condition of the house and what you can afford), your agent will help you to determine the offer that you are going to present.
Getting pre-approved will not only show home-sellers that you are serious about buying, but it will also allow you to make your offer with confidence because you’ll know that you have already been approved for a mortgage in that amount.
- Submit an Offer
“Once you’ve determined your price, your agent will draw up an offer, or purchase agreement, to submit to the seller’s real estate agent. This offer will include the purchase price and terms and conditions of the purchase.”
Talk with your agent to find out if there are any ways in which you can make your offer stand out in this competitive market! Buyer Specialists on my Team have proven methods to make sure your offer stands out to the Seller!
- Negotiate the Offer
“Oftentimes, the seller will counter the offer, typically asking for a higher purchase price or to adjust the closing date. In these cases, the seller’s agent will submit a counteroffer to your agent, detailing their desired changes, at this time, you can either accept the offer or decide if you want to counter.
Each time changes are made through a counteroffer, you or the seller have the option to accept, reject or counter it again. The contract is considered final when both parties sign the written offer.”
If your offer is approved, Freddie Mac urges you to “always get an independent home inspection, so you know the true condition of the home.” If the inspector uncovers undisclosed problems or issues, you can discuss any repairs that may need to be made with the seller or even cancel the contract altogether.
- Act Fast
The inventory of homes available in certain price brackets have remained well below the 6-month supply that is needed for a ‘normal’ market. Buyer demand has continued to outpace the supply of these homes, causing buyers to compete with each other for their dream homes. A Buyer Specialist on my Team advices his clients, “If you are thinking about making an offer, likely another prospective buyer is as well!” And this has proven to be true in several multiple offer situations.
Whether buying your first home or your fifth, having a local real estate professional who is an expert in the market on your side is your best bet in making sure the process goes smoothly. Call my Team today to work with a Buyer Specialist who only represents you!