First of all, let me start off by saying it’s not a “bidding war”. That being said, the low inventory of homes for sale and the many buyers looking for their dream home, can make it a little difficult to buy a house in the Chatham area these days.
The best houses are the ones that are well-priced; these sell very quickly and very often with multiple offers.
As a buyer, you have the opportunity to make yourself the best buyer! Here are 10 tips for winning the home of your dreams:
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1. Find out about it “toute-suite”
Work with a realtor who will be on top of new inventory all the time! This usually means you need someone with a team, let’s face it, no one can work 24/7 without burning out. A team allows for several realtors to work together, support each other and their clients and provides you, the buyer, with the very best attention and coverage.
2. Get there early
I know you have things to do and places to be, but don’t wait till the weekend. Go and see the house right away so you can be ahead of the others. Sometimes being first counts.
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3. Be decisive
If you want the house, go for it. If you’re the kind of person to dilly dally, think about whether the seller and seller’s agent will prefer to choose a buyer who is decisive or someone who is wishy-washy? Which would you choose?
4. Understand the market
Know the relevant properties for sale and those which have recently sold. Find out what the current market is doing in your neighborhood, the “temperature” of the market is in your specific segment, the trends, the current activity, etc. Your realtor can help you with all of this.
5. Don’t let the idea of a “bidding war” scare you
You only lose the “war” if you’re not in it. There have been situations where multiple offers did not result in a price over asking. What’s it worth to you? Put your hat in the ring. As they say, you gotta be in it to win it!
6. Make a strong offer
Everyone wants a good deal and home buyers frequently confuse list price with value. Often the price has been set at a level to garner lots of attention. Don’t discount just for the sake of discounting. Look at the value then decide on your number.
7. Be a strong buyer
You may be a billionaire but it’s possible that the seller and the listing agent don’t know just how qualified you are. Get yourself a strong pre-approval letter from a known lender. Show proof of your down-payment and have these ready when you begin to look for your house.
8. Show you are truly qualified
If your offer is for $800,000, don’t show up with the lender’s letter written for $800,000. The seller may worry that this is all you can afford and will choose someone who appears more qualified.
9. No-contingency contract
Do not make your offer conditional upon the sale of another home. Would you want to risk your sale on someone else’s? If necessary, sell your house first before looking to buy another home.
10. Limit inspections
Nothing and no one is perfect. Neither is your new home. Inspections are meant to uncover serious problems with a house: structural issues, roof leaks or mold, radon, termites and the like. You should clearly state in the contract that you will not “nit-pick” the inspection. This will give the sellers confidence in you as a buyer and gives you the protection against previous defects that you want and need.
Bonus
Write the sellers a “love” letter. Chances are the current owners love their home and they will love to sell it to the most qualified buyer… who will also love their home. Tell them about yourself, your family, and why you love their home. You’d be surprised how important this is can be.
Buying a home should be an exciting time yet with current market conditions it can be very stressful. Everyone I’ve ever sold a home to after they had lost another has said to me “I’m so glad we didn’t get that house! This is one is so much better”!
One more thing... The experts are not the people who bought a home in the last 3 years. Their experience is limited. If you have done a good job of hiring the right agent, you should trust the guidance of the person who has helped dozens of homes owners in the last 12 months. This is your expert. Contrary to the paranoia that seems to permeate many home buyers, most agents truly care about their clients and helping them get what they want. If you don’t think your agent is trustworthy, find one you trust!
Be prepared. Do your best. Put your best foot forward.
Good luck – you will be in your new home soon!
