According to our real estate experts, listing for homes are down 25% compared to last year. This means less homes to choose from and competition for the same home. Julie and Daniel Desrochers from Desrochers Realty Group and EXP Realty have some advice when it comes to making a strong offer and having your offer stand out from the rest.
Get your offer in early
- That means you need to look at the house as soon as it comes on the market and be prepared to put an offer in right away.
- Make sure you work with a real estate team that is available to get you into a listing quickly.
- Listings can sell in day right now.
Make sure you are pre-approved with a good, reputable local lender.
- Make sure the loan product they are putting you in is strong.
- If you can do a conventional loan and can avoid an FHA loan that is best. As there are more issues that can come up in an FHA appraisal so a seller is more likely to go with a conventional offer.
Make your offer as clean and as strong as possible
- Not continent upon the sale of your house.
- If you can avoid it do not ask the seller to pay your closing costs.
- Waive the appraisal contingency if you can (need to have cash to gap the difference in appraised value and sale price to put down on your loan)
- Close on a date the is desirable for the seller
- Have a strong amount of earnest money
- Be prepared to have to go over asking price to get the home.
- Use an escalation clause if you are in a multiple offer situation.
- What is an escalation clause? Means you will outbid any other offers by a certain price up to a certain amount.
- Example your Purchase price would be $4,000 over the next highest non-contingent offer up to a maximum sale price of $400,000.
Write a love letter to the seller
- Sellers love to receive compliments on their house.
Tell them why you love the home and how you can picture yourself living there.
- This is a chance to let them know there is a real person behind the offer.
- Make a connection by mentioning things you saw. For example if there is a treehouse in the backyard and you grew up in a house with a tree house. Explain that you want your children to have that same experience.