The current real estate market, different from recent years by limited inventory in almost all price ranges, has created increased demand for many homes. Homes with the greatest interest include those that are well priced, in good to excellent condition and staged to enhance photography that highlights the best features of the property.

Buyers currently in the market to purchase a home, depending upon their criteria, may likely select a home with other buyers also interested and find themselves bidding on a property with multiple offers existing. Should you face this scenario, here are some suggestions to enhance your offer to increase the likelihood that it will stand out from the others.

- Price is important, but don’t forget the other terms of your offer. Have flexibility where you can. If the seller wants to move quickly or stay longer, offer to adjust your closing time to accommodate their schedule.

A larger earnest money deposit is another term of the contract that can make a big impact.

- Consider including a letter to the seller with your offer. Home negotiating is relatively impersonal in today’s technology-filled world. Most offers are completed online, executed with digital signatures and submitted by email. A personal note from the buyer (even if the “letter” is emailed) can distinguish your offer from others. Share what you loved about their home and what you are looking forward to when living there. Appealing to the seller’s emotional side could be the difference in impact needed to land your offer on top of others.

Eliminate as many contingencies as you can from your offer. While most buyers require financing to complete a home purchase and cannot remove this condition, if you are comfortable purchasing the home “as is”, that scenario could be very appealing to the seller. This approach would typically still permit home inspections to ascertain the actual condition of the property before proceeding. Buying without asking the seller to make any repairs can be effective in a buyer becoming a multiple offer winner.

- Absolutely include documentation showing you are qualified to purchase the home. A preapproval letter for a mortgage or proof of funds if you are paying cash is critical for sellers to seriously consider your offer.

- Avoid requesting the seller to leave personal property not already included in the listing conveyances

Don’t ask the seller to pay your closing costs. In some price ranges, asking the seller to pay part of the closing costs for the buyer is very common, but paying your own provides one more reason your offer could look better than the next one.

- While price clearly isn’t the only factor important to the seller, it will often be a major determining criterion in choosing the successful bidder.  So if you really want the home and others do too, consider offering above the listing price. Keep in mind that if you think the home will only
appraise for the price it is listed at, and not for the amount you are offering to pay, you may need to make it clear that you are willing to pay more than the appraised value.

Because there are so many variables within an offer, it can be really hard to know what is best in any given situation.  So having a trusted real estate advisor to guide you through the home buying process is critical to determining the best terms needed to secure the property when competing with other interested parties.

For additional information on submitting an offer to purchase a home, please contact me today for a consultation. I will be happy to answer any questions you may have about the home buying or selling process, help you to find a new home or determine the value of your existing property.

 

Allyson Hoffman, ABR, ACRE, CDPE, CRS, e-PRO, GRI, SFR, SRES
RE/MAX Villager
Serving Chicago's North Shore, North and Northwest Suburbs
847-310-5300
allyson@allyson.com

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Allyson Hoffman is your ultimate real estate resource for Chicago's North Shore, North and Northwest Suburbs and surrounding areas. Visit my website for detailed information regarding today’s real estate markets.    

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