
Characteristics of a Strong Offer
The best offer you could place on a home is an over list price cash offer with no contingencies. This isn't a realistic option for most buyers so let’s run through how we make our offer competitive while including a loan.
It's best to step in the seller’s shoes and ask, "What would I like to see in an offer if I were the seller?" This would include a competitive offer price, no contingencies, a flexible closing date, security with appraisal coverage, and quick communication from the buyer’s agent.
Offer details you control as the buyer...
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✺ Purchase Price ✺
Every home is different, in today's market if a home is priced and marketed well we'll most likely be dealing with multiple offers. We'll look at comps but ultimately this comes down to what you're comfortable paying for the home. Being the highest doesn't guarantee you to be the winning offer.
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✺ Earnest Money ✺
Earnest money deposits are typically between 1 - 2% of the purchase price. To the seller, this shows how serious you are as a buyer. It's possible to make part of this non-refundable to the seller.
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✺ Closing Date ✺
One of our top priorities when it comes to closing is flexibility. In a competitive market with multiple offers, it's crucial to be adaptable and willing to close when the seller prefers. Offering a rent-back option can also make a significant difference in alleviating the stress of moving for the seller.
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✺ Appraisal Coverage ✺
When you are submitting an offer tens of thousands of dollars over the asking price there is a chance the home will not appraise for the purchase price. When this happens the difference will need to be covered. When you’re in a very competitive market you as the buyer can agree to pay the difference or a portion of the difference. This is not always extra cash you need to bring to closing, often you can use money from your downpayment.
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✺ Inspection ✺
I recommend requesting an inspection if it's appropriate for the property. While it's natural to have concerns about the seller's response, there are ways to make the process less stressful. We can add terms around the inspection to protect you as a buyer while making your offer appealing to the seller. This way, you can protect yourself from big-ticket items while also voicing to the seller that you won’t nickel and dime them with inspection requests.
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✺ Financing ✺
Not all lenders are the same, and the right lender can make all the difference in getting your offer accepted. That's why we believe it's crucial to partner with a lender who has creative financing options. We work closely with lenders who understand the importance of clear and timely communication with the listing agent and who will take the extra step to ensure your loan is fully underwritten.
Additional details…
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✺ The Sooner the Better ✺
I strongly believe there is power in being the first offer on the table. It shows your eagerness as the buyer and our professionalism in being able to work efficiently. This is a preference, if we can’t be the first offer submitted that’s okay!
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✺ Communication with Agent ✺
As soon as you express interest in making an offer on a home, I will initiate communication with the listing agent. Building a rapport and gathering information can help us craft a compelling offer. Our communication doesn't end with an accepted offer; I remain available and ready to address any questions or concerns that may arise throughout the entire home buying process.