Welcome to Daylight Savings Time! It's synonymous with the start of Spring, warmer temperatures and 'bidding wars" Buyers who have put away money for down payments are ready and rearing to go to buy their first home or second home. They have endured 12 months of Covid and need to find a home to call their own. So, the topic of conversation amongst buyers to their mortgage lenders and realtors is : HOW DO WE WIN THE BIDDING WAR WHEN THERE'S SO MUCH COMPETITION? You have been so patient and now walk in to the home of your dreams. Here's strategic plan of action:
1) Make sure you have a pre-approval letter in hand that is up to date. Pre-approval letters are valid mostly for 90 days.
2) Go all in at the highest offer.
3) Add an "escalation clause". I have buyers go in with their highest and best offer. If another offer comes in comparable, then my buyers will go XYZ higher to beat the competition.
4) Write a LOVE LETTER. A letter showcasing what you like in the property and how you can see yourself build your life there still resonates with many sellers. Make it sincere and not too long.
5)When possible, offer an all cash deal or as much as you can afford for a downpayment. A 20% downpayment fares better than a 5% downpayment with sellers.
6) Lower your price point so you have a shot at winning bidding wars. Rather than looking at the top of your price range, lower it so you have " negotiating power", aka "wiggle room". You'll be in a better position of getting your offer accepted.
For more helpful tips and what I can offer you as a buyer's agent, please email me at firstname.lastname@example.org