What happens when your dream home appears to be someone else’s too?
Being involved in multiple offers doesn’t have to be a losing battle.
So, you’ve researched the neighborhood, the schools, the access to shopping. And you’ve just submitted a solid offer on the home of your dreams. Congratula–…wait, what? There’s another offer on the table already? And TWO others on the way? Holy cow! Now what?
In Central Oregon, multiple offers on the same listing is not unusual. But suddenly last spring, the inventory of homes shrunk dramatically. Then, quite unexpectedly, a huge influx of buyers joined the market in June, leaving the real estate market in Bend is as competitive as it’s ever been. Some homes are selling within minutes of being listed.
Under these extreme and intimidating seller’s market circumstances, your best chance of securing a popular home in a multiple-offer situation is to be prepared…and very, very nimble.
The first way to gain a leg up on the competition is to meet with a lender to establish a realistic budget and determine a monthly payment that’s comfortable for you. Based on a quick conversation, a lender can provide you with a pre-qualification letter, or the more desirable pre-approval letter, which is based on financial documentation and actual credit score. Some lenders will take it a step further and take you through the underwriting process, so you’re simply an address from having an offer already written. Once you’ve nailed the first step:
It’s go time!
By all means, be ready to move quickly and view properties as soon as they come to market and make prompt decisions. Hesitation can be the difference between having a chance at your dream home or someone else moving in. In this climate, buyers are anxious to make a purchase and many homes are going before officially hitting the market.
Put your best offer forward
In competitive markets like these, it’s always good to consult with a knowledgeable realtor. If yours Is one of multiple offers, you may need to be prepared to pay more than the asking price. A good question to ask yourself is, “At what price would I feel OK letting this home go to someone else?”
Some sellers may ask you to submit your highest and most aggressive offer up front. When that happens and someone else outbids you, at least you’ll walk away with fewer regrets.
If your offer is acceptable, appeal to the seller when setting the closing date. Find out if a quick closing is best or what’s preferable to them. Last but not least, craft a personal letter to the seller describing why this is the perfect home for you. It may sound trivial, but this could be very meaningful to some sellers. Following these steps will help to set an offer apart from the others and give the best chance at receiving an invaluable accepted offer.
Some information provided by Abbie and Rick Sams.