Here’s everything buyers need to know about dealing with competitive offers.
In today’s market, it isn’t uncommon for buyers to be up against competition. These last few years have seen a sparse inventory of homes, especially in a popular area like Washington, D.C.
Since the supply is lower than the demand, it isn’t unusual for up to ten or even twenty parties to have their eyes on the same property.
Although buying a home
can be difficult when you’re up against multiple bidders, it isn’t an impossible feat. It’s vital to have the upper hand, so you need a solid strategy to help you make the best possible moves.
Here are my professional tips on successfully navigating a multiple-offer situation.
The Right Agent is Everything
The fundamental priority should be seeking professional help. When working with the right Washington, D.C. real estate agent, you’ll avoid the stress and struggles that can make buying a house challenging. You’ll want someone with experience who can clearly explain every step of the process.
Get To Know the Market
What’s happening in the market can be affecting you, so it’s important to be familiar with the current real estate climate. Talk to your agent about what’s going on at large and see how it plays into your situation.
Pre-Approve Your Loan
Taking the step to get pre-approved on your mortgage can propel you above the competition. Showing the seller that you’ve been pre-approved for the loan makes the statement that you can afford the house and are already in the process of financing it.
Going a step further than a financing pre-approval, you can increase your standing with the seller by putting your best foot forward. In some cases, the seller will not be privy to any personal financial information aside from the loan approval.
By letting the seller have a peek into your financial life, you can prove your qualification and give the seller comfort. Ask your agent about submitting a financial sheet that includes your credit score, savings, employment length, and so on.
The easier your deal, the more attractive you are to the seller. Talk to your agent about editing your offer contingencies. You can alter time frames, remove what isn’t necessary for you, and generally clean up the bid so it’s smooth yet responsible.
Get to Know Your Seller
A multiple-bidding situation isn’t easy for anyone, including your seller
. Odds are they are struggling to find the very best fit out of the competition.
It’s wise to have your agent learn about the whole scope of the deal--not only the transaction details. Knowing about a seller’s life, desires, and ideals can put you one step ahead of the rest. Having an educated on your side who is seasoned in achieving mutually beneficial resolutions to high-stakes negotiations goes a long way.
The most important thing to remember is to stay positive. Don’t become overwhelmed; multiple bidders are often just part of the process.
When looking for an experienced agent you can trust, contact David Hatef
, one of the top Washington, D.C. real estate agents.