Inventory has been down over the past couple of years, meaning that multiple offer situations have become common. So, when you aren’t the only buyer looking to purchase a certain home, how can you make your offer stand out?
The stronger you come in from the beginning, the better, but in multiple offer situations, this isn’t always enough. There are few things you can do to increase your odds when competing against other buyers:
- Keep your due diligence short. If you can get your home inspection and other due diligence done in a timely manner, your offer will automatically stand out to the seller.
- Make a cash offer if you can. Cash offers with no financing or appraisal contingency are very attractive to sellers. If you’re unable to pay in cash but are confident enough in your financing to forgo an appraisal contingency, this is another way to give your offer a leg up.
“In a good offer, strong terms are as important as a strong price.”
- Offer the highest price you’re willing to pay.A solid price is essential to a good offer, but it isn’t the only thing that matters. If another buyer makes an offer that is slightly lower than yours but is in cash, they may have the edge. In a good offer, strong terms are as important as a strong price.
- Make a high earnest money deposit. Putting forward an earnest money deposit with a high dollar amount will show sellers how serious you are. Keep in mind that during your due diligence period, your earnest money is completely refundable. If you move forward, though, this deposit goes toward your down payment. So, in either case, you and the seller both benefit.
If you have any other questions, would like more information, or want to discuss your plans to buy a home, feel free to give me a call or send me an email. I look forward to hearing from you soon.