It's Wednesday morning and your TPS reports lay sprawled across your desk, ignored. After catching up on your Facebook feed, you start combing through listings when, there it is: the perfect new listing.
It's priced well, has great pictures; it's the one you've been waiting for.
Unfortunately for you, 10 other people just had this same realization.
How can you come out ahead in what will surely turn into a cutthroat bidding war?
3 Tips To Mastering Your Multiple Offer
- Be Fast and Furious
- Work With The Seller
- Have Your Ducks in a Row
Be Fast and Furious
When you know, you know. When you come across that shiny new listing, take action! You aren't the only genius who has seen it so recognizing the potential for a multiple offer situation should light a fire. Call, email, and text your agent and try to get in ASAP. Schedule a showing over your lunch break, after work, or whenever you can get in.
Traveling? Chained to Your Desk?
Go to Plan B: Ask your agent to go take photos or to do a video tour. If you know what you're looking for and this looks like it, take the plunge. There are contingencies in the contract meant to protect you if you have second thoughts.
For a really hot property, time is not on your side so be ready to submit a strong offer. Look at comparable properties and come up with a fair offer and then submit it ASAP.
If you're lucky, you'll be the first offer in and if your offer is strong, the seller may accept it before other offers come in.
Work With The Seller
No- this is not as crazy as it sounds! When it comes to writing a winning offer, it isn't always just about the price. Part of winning the seller over is making your offer tempting.
In a multiple offer situation, you may have multiple bidders in at the same price so the decision comes down to factors other than price. Make your offer stand out. Tell them what they want to hear!
Before submitting, find out about seller. When are they looking to move? If they are flexible, target a quick 30-45 day close to show you are motivated. Be aware of the contingencies in the contract and what you need to get the deal done. Can you expedite your home inspection or the appraisal? The more you can limit the contingencies in the contract, the more appealing your offer becomes.
Have Your Ducks In A Row
When it is time to submit your offer, you want to put your best foot forward and that means having all of your ducks in a row. It tells the seller that you have your act together and demonstrates how easy you are to work with.
Here's What You Need When You Submit Your Offer:
- Pre-Approval and/or Proof of Funds
- Signed Contract and Riders
- Signed/Initialed Disclosures
- Optional: Personal Letter to the Sellers
- If the purchase is contingent on the sale of your home, have all of the listing paperwork, any contracts, etc included so they can see how far along in the process you are
Ready for more?!
Stay tuned for how buyers can protect themselves amidst this feeding frenzy.