BY JESS GARRISON · SELLING YOUR HOME
There’s no disputing that cash is king. However, very few people have the ability to access large amounts of cash to purchase a home. There are a few tricks to win big in a multiple offer situation without having to take out a massive loan. Follow these tips and you’ll be in your dream home in no time!
You need to find an edge when competing against multiple offers. Some sellers just want their home sold fast and for the right price. They don’t want 30 showings in a week. Being the first person to write a great offer and ask for a quick response is the best advantage you can have with an impatient seller!
When the listing agent is presenting multiple offers to the seller, it’s not all about the purchase price. Sellers like to see clean and simple offers. Try to exclude menial questions and requests in the offer. Keep everything simple and straightforward.
The escalation clause is a touchy subject these days. With the clause, your offer will increase so and so amount over the next highest offer, capping off at a specified number. Before adding this to your offer, you should have your agent ask the listing agent if they are accepting these kinds of offers. Some sellers don’t like this style, and it could put your offer in a bad position.
Consider waiving your home inspection if you are really looking for a huge advantage. This is very risky and could expose you to serious issues down the road if a major repair comes up that could have otherwise been found in an inspection. If you have a friend or family member that is in the construction business, bring them to a showing of the home you want. They could possibly give you a rough rundown of the house. Again, this is risky and should only be practiced if it is your only option.
The Federal Housing Administration has come a long way in the last few years, but many sellers still look down on this style. If possible, consider having your lending switched over to conventional lending. This gives your offer a better look for the seller.
Sellers and their agents want to see the lender you are using. They want to know that your lender is trustworthy and reputable. When you use someone that no one in the area has heard of, you can end up putting yourself in an unfavorable position.
Try to find out what the seller’s motivation is, and if your offer can help them in any way. For example, if the seller doesn’t yet have a place picked out to move, you could offer them an extended period of time to stay in the home rent-free. This could be huge for them, and it’s something few buyers may offer.
Have your agent reach out to the listing agent with a personal phone call and introduce your offer. This personal touch cannot be replicated by email or text, and having your agent personalize you could be a big advantage over the competition!