As we move into the prime home buying and selling season, you may find that there is a lot of competition out there – especially for homes that are located in highly sought after areas. So, as a purchaser, how can you make an irresistible offer that a seller may not be able to refuse?
There are actually several areas where you can make your offer more appealing to the seller of a home you want – starting with securing your financing before you even start house hunting. Because most people don’t buy homes with cash, getting a home mortgage will likely be necessary in order to move forward with the deal.
With that in mind, you should ideally get pre-approved for your loan before you even begin to shop. That way, if you have a lender’s pre-approval, a seller can be much more secure in knowing that if they accept your offer, the financing will go through.
Once your financing is taken care of, you can start to make offers confidently. Yet, while all buyers would love to get a good deal, many sellers do not look too kindly on extremely low ball bids. In a seller’s market (like the one we are experiencing now), if a home is appropriately priced, it’s not likely that a seller will accept anything below just a small percentage of their asking price.
It is also important to keep in mind that the more contingencies you build into your offer, the more hesitant a seller will be in accepting it. Therefore, if you present the seller with a long list of what-ifs, they are much more apt to look for another offer. (Note that making the purchase contingent on the home passing an inspection is a viable item to include).
If you’re considering the purchase of a new home soon, making your offer easier for a seller to accept can put you in the front of the line when there are other potential buyers who are also vying for the same home.
Looking for some additional tips on how to negotiate the best deal possible when purchasing a home, while at the same time, ensuring a win-win situation for all? If so, give us a call today.