If you are a buyer and have been looking to buy a home here in the Truckee/Tahoe area you may have encountered the experience of being ‘skunked’ by multiple offers, maybe even after offering higher than the asking price! We are experiencing much lower than normal inventories in the past year and increased buyer activity- with the end result that multiple buyers are making offers on the same property. How does one get the advantage in a multiple offer situation and get their offer accepted by the seller?
There is no sure way but here are 5 tips to help you win the deal:
- KNOW WHAT YOU CAN AFFORD. Talk to a lender and find out what you can afford. You may be surprised with the current low interest rates that buying makes more sense than renting and you may be able to afford more than you thought. There are also various loan programs available now including some with low down payment options, first time homebuyer, renovation loans and FHA/VA loans. Make sure your lender can give you a prequalification letter or preapproval letter to present when you make an offer.
- BE PREPARED. Know what you are looking for: price range, neighborhood, style and size. Be ready to go when a listing comes on the market to look at the property and make an offer.
- USE A REALTOR. Find a realtor who you can trust, has a good knowledge of the market and who can keep you notified when listings come on the market and one with great negotiating skills.
- TAKE IT ON THE GO. There are several apps for smartphones or pads: Dickson Realty, Realtor.com, Google and Trulia that can keep you up on the new listings. Your realtor can also set you up with instant email notification when new listings come on the market.
- MAKE YOUR OFFER COMPETITIVE. The highest price doesn’t always win the deal. Have your agent find out what the sellers want or need from the listing agent. For example, they may want a long escrow rather than a short escrow. Make your offer stand out: write a letter stating why you love the house and a little about yourselves. Be prepared to offer over asking price, ask your agent for advice.
If your offer isn’t accepted, have your agent try and put your offer in first back-up position. If the first offer falls through, you
will be in first place to purchase the property.
Good luck!!