Many buyers in today's market are asking; "Why is it so hard for us to find a home in our price range?" "Is it just us having bad luck?" "Should we just rent another year and wait?"
The answer is no, it's not just you, you're not alone! And no, you shouldn't wait another year! With home prices on the rise and projected to keep on the rise, as well as rising interest rates, waiting another year doesn't help you out. You will likely have even less purchasing power with higher rates, and with housing prices projected to stay on the rise, you will have even fewer homes to choose from.
So why is it so hard to find a home in today's market? For every 8 buyers looking for a home under $300,000, their is only 1 home for sale. The housing supply is at historic lows and is down over 30% from two years ago.
So you're asking....What are some things I can do to improve our odds, if we find ourselves in a multiple offer situation?
1. Don't ask for personal property. Maybe you find yourself loving their dining room set, don't ask for it. Drooling over that patio furniture set, skip it. It will weaken your offer when up against others.
2. Make your offer as clean as possible. Don't have a contingency in your offer, stating that you need to sell your home first, the seller is likely not wanting to wait for that. Your offer should also be free of any seller paid closing costs when up against other offers, another reason some offers get thrown out by the seller.
3. Consider waiving the inspection or shortening the time period. I would never recommend waiving the inspection altogether, I would recommend shortening the inspection time period down to 4 or 5 days, from the standard 10 day window. This shows the seller that you are serious and wanting to make moves quickly.
4. Write a personal letter to the seller. Writing a personal letter to the seller will increase your chances on getting your offer accepted. Explaining how much you love their home, and how you can picture your family starting in their home, could possibly convince the seller to pick your offer over the next one.
5. Consider a larger Earnest Money Deposit. Your earnest money is strongly considered how likely you are to follow through with the purchase on the home. A larger deposit of the traditional 1-2% is viewed stronger by the seller that you fully intend on purchasing their home.
6. Make sure the offer is complete. First and foremost make sure you have an agent that understands what a full offer is. Make sure all of the disclosures are sent with the original offer, this could include; Any Purchase Agreement addendum's, Sellers Disclosures, Lead-Based Paint Disclosures, Earnest Money receipt/proof. In the competitive market of today, this could easily get your offer tossed out.
7. Offering Above List Price. Lastly but most importantly, writing an offer that will net the seller the most amount of money will almost always get the job done. If you are needing closing costs to be paid for by the seller, it is crucial that you write that into a higher purchase price so the seller still walks away with the same amount of money at closing time.
While these all sound like absolute no-brainer things to do, all the little things add up and will increase your chances in the end!
If you would like a fun and smooth home buying experience, while being informed from Day 1. Contact me and I will walk you through each step of the way on how to get started!
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Email: Scott.Swennes@results.net
Phone: 763-331-4775
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Cell: 763.331.4775
Email: Scott.Swennes@results.net
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