The housing market is heating up! For buyers, this may lead to submitting multiple offers or a potential bidding war. If you or someone you know is in the market to buy a home, here are six ways to give your offer the best chance for seller acceptance, especially when the competition is stiff:
Get preapproved: Go through the process to be pre-approved so you know your purchase ability, and have a strong cover letter prepared for your seller.
Don’t lowball: When making offers, try to be first and don’t lowball. Being first to the negotiating table plants you in the seller’s mind. But when listings are scarce, lowball offers are a losing strategy.
Opt for an escalation clause: In a hot market you can opt for an escalation clause in your offer that tells the seller you will beat any offer exceeding your bid by $1,000, up to a maximum amount of your choosing.
Perform inspections upfront: It may cost a few hundred dollars, but having an inspection performed upfront shows your’re serious. And when you make an offer without contingencies, sellers pay attention.
Tell them you love it: Ask you agent to deliver a letter listing the reasons why this house is perfect for your family (include pictures and be specific).
Don’t overpay: Do your research on the market by reviewing comparable property sales prices, schools, and online reviews for local businesses. Chat with your potential neighbors as well to get a wealth of information as well as a possible inside scoop.
What other tips do you have for navigating a hot housing market? Leave your tips in the comments!