In a seller's market, you are not the only one eyeing that perfect home. We'll give you the insight into landing your dream house against multiple other offers.
Are you prepared to Win the Offer?
Are you able to have your funds in order, whether you are a cash buyer or relying on a lender? No matter what the situation, a big part of winning the offer is being ready financially.
Have you walked through the home? Not everything on paper lives up to the hype, so make sure you know what you are getting into.
Do you need an Escalation Clause?
An escalation clause states that you are offering X dollars, but if necessary, willing to go to X dollars.
This clause is most valuable in a hot seller's market. When there are more buyers looking than homes listed, competition can be fierce. You may be dealing with offers over the asking price. An escalation clause gets the buyer's attention because it is clear you are seriously interested in the property.
While not always necessary, depending on the market, it may be the cherry-on-top of your offer.
Do you need to get Personal with an Offer?
Not as common as it once was, a letter to the seller can be the golden ticket. A letter usually includes a little bit about yourself and your tentative plans in the home. If you have kids, pets, a spouse, etc. Include whatever personal information you are comfortable with, but consider a brief bio and if you're starting a family, a home business, or enjoying retirement, etc.
What do you need to Win multiple Offers?
You may need a few, all, or none of these recommendations to win your offer. The housing market is variable, but each of these tactics has proven valuable in our experience.
Pre-Approval: Know your budget & be able to prove it.
Money Talks: Don't offer less than asking price. If you don't think it's worth it, rely on the appraisal.
Waive Contingencies: Carefully decide what you can do without.
Get Personal: Write a letter to the owner about why you want this home.
Cash is Great: If you are buying with cash, you're already ahead.
Escalation Clause: This states that if your offer is not good enough, you are willing to increase the price X dollars.
Earnest Money: If you have the ability, include an amount you're willing to give up-front when the contract is signed.
Can you Withdraw an offer?
Yes. While an offer is a legal document, the offer may be rescinded prior to acceptance. This may happen in the event that you put an offer in on a house you like, and then your dream home comes on the market. You may have been serious about the first offer, but now you want to put all you've got into your dream home.
It is important to note that te offer must be rescinded before signing contracts.
What does an offer Look like?
An offer is much more than just a dollar amount. There are a lot of details to hash out, such as inspections, earnest money, closing timeline, and more. The standard form used by the RE/MAX Unlimited Results team in Tiffin, OH is six pages of legalese and filling in. While varying state to state and even among regions, there is a lot included when making an offer.
Is a house offer Legally binding?
While an offer has legal language, it is not legally binding unless contracts have been signed. Once your offer is accepted, both parties will sign a contract, making the offer a legal agreement.
How long does it take for the offer to be Accepted?
Every transaction is unique, however, the range is typically a few hours to a few days. The timing usually depends on the amount of activity on a listing, whether there are negotiations back and forth, and the seller's schedule.