Imagine finding a home you love, making an offer, and then finding out there are other competing offers on the table. Ouch.
If you’re looking for a property in a competitive market, it is likely that there will be multiple offers. Even just one can create the risk that you’ll lose the home. So how do you make sure your offer is enticing enough to win over the buyer? Here are some ideas:
• Don’t make a low-ball offer. If you do, it might be dismissed and you
probably won’t get another chance to bid — especially if the other
competing offers are near the listing price.
• Have a pre-arranged mortgage and include that with your offer. This
reassures the buyer there won’t be any money issues. (Most lenders
will provide you with a pre-arranged mortgage certificate for this
• Go in with a price high enough that the buyer will be interested, but
not so high as to be leaving money on the table. This is tricky and
requires a savvy knowledge of the current market.
• Have a REALTOR® present the offer on your behalf. A REALTOR®
will know how to do so professionally, and in a manner that gives you
the best chance of getting the home.
In a competitive situation, working with a REALTOR® who is an expert on the local market — and a skilled negotiator — is crucial.