You have finally found a home you love and are ready to make an offer. There’s only one problem: another buyer – or buyers – have their sights set on the same home.
Multiple offer situations can add extra stress to an already emotional time. You can’t always avoid them, but you can follow these tips to get one step ahead of the competition:
Know the Product
You want to enter into this process with as much information as possible. First, start by reviewing the steps to buying a home. Next, take a look at the home’s competition. Do you know what other homes in the area have sold for? Understand that future sales prices could be very different from past sales prices.
Get Ahead Financially
Start by presenting a strong deposit, which shows good will. Don’t exceed your financial capabilities (no one wants to be house poor) but provide the strongest deposit possible to make a good financial impression.
Offer a Mortgage Commitment Letter from your lender. Pre-approval or pre-qualification only includes what a lender may loan you. A Mortgage Commitment Letter is a document showing that you’ve passed the underwriting guidelines and your loan has been approved. It includes the type of mortgage, the amount borrowed, the interest rate, and repayment period.
Know – and Appeal to – the Seller
Making this process as simple and straightforward as possible for the seller can save a lot of time and headache. If you know the optimal closing date for the seller, stick to it as closely as you can. When it comes to conditions and inclusions, do not ask for additional items that aren’t included in the listing, and if you need conditions, arrange the inspection, etc., before the offer.
Be Flexible and Available
When facing a multiple offer situation, timing is everything. You should always be present or close by during the offer presentation; we will need to be quick to counter-offer or reply to the seller’s representative.
Work With a Team Who Will Help You Win
Navigating – and winning – in a multiple offer situation won’t be easy without the help of an experienced real estate agent who protects your interests above all else. See what buying a home with us is like, or learn more about the neighbourhoods and condos we specialize in.
“The Ray Otten Team successfully negotiated on our behalf in a multiple offer situation and structured the offer in such a way that it was actually more appealing to the seller. We have moved several times and this has been the easiest and most professional purchase experience we have seen to date.” – Chris and Brandi McKenna