What the heck is going on in this current real estate market? I’m fielding multiple offers on every listing. Properties generally have an accepted offer within 3 days of putting a property into MLS. Excellent, well-structured, appealing offers are being submitted with all the required paperwork. A complete set of paperwork - that in itself is somewhat of a miracle! From a seller’s standpoint it can be both a welcome boon and a daunting task to decide on what constitutes the best overall offer. That may not be the offer with the highest price, as there are other factors to take into consideration.
Does the buyer have something to sell? How much is the buyer putting down? Is the buyer pre-approved or just pre-qualified? When does the buyer want to close on the property? Does the buyer want to have a home inspection? Will the lender require an appraisal? Are there any unusual requests or restrictive contingencies in the offer?
Weighing all the pieces of the offer is important when determining exactly which offer a seller feels the most comfortable accepting, and which offer is the most likely to close on time and with the least potential for hitting snags. An experienced and area-knowledgeable Realtor will be able to examine all the details, explain the pros and cons of each offer, and help guide and advise a seller toward a successful closing.
But what if you’re on the buyer side of this crazy seller’s market?
Leading real estate sources indicate home prices will continue to increase. So to be successful, you'll need to be prepared. Determine exactly which town or towns you want to purchase in; this is not the time to be wishy washy and looking all over the place, looking solely by price point. This also ensures that you know the areas and neighborhoods of a town, so you’ll know when you see a listing if it’s in a spot you want to live. Life these days is stressful enough, don’t waste time looking at a home in a spot where you absolutely don’t want to live. Be prepared to see a property the moment showings begin. If a house is listed on Thursday and showings begin on Friday, don’t wait until Sunday to see it. There is a very good chance it will already be off the market! Have your “ducks in a row” so you’ll be ready to submit an offer. This means knowing your purchase price comfort level, having a current pre-approval, having a lender who is super accessible 7 days a week, having your checkbook with you so you can give your agent a deposit to go with your offer, and very importantly, listening to your agent regarding structuring your offer.
While these preparations won’t guarantee that your offer will be the winning one, they definitely will increase your chances of success.