Are you ready to make an offer on a home that you want to buy? If so, it will help to know the following tips when making an offer.
Assume You're Going Up Against Other Offers
It is never a good idea to go into an offer with the mindset that you are the only buyer making an offer. Always assume that there are other offers on the table. If you make an offer that is too low because you're trying to meet somewhere in the middle, you could get beat by a higher offer. Once the seller accepts an offer, you won't be able to make a counteroffer.
Write The Seller A Letter
Sometimes it can help to let the seller know why you are interested in buying the home. Writing a one-page letter explaining what you plan on doing with the home, why you like the area, and how you are looking to start a family can help. If the seller is deciding between two identical offers, a personal story can help make your offer more relatable and help the seller pick yours. This is because sellers have an emotional attachment to their home, and want to ensure it is going to the right family.
In addition, a letter when making an offer is typically the only chance you have to talk to the seller during the home buying process. It is the best opportunity to make a good impression on them.
Offer A Rent Back Period
Are you in a position where you don't need to move into the home right away? You may be moving out of an apartment and have a lease that is not up or have a later closing date on the home that you are selling yourself. It is worth offering the seller a rent back period if they need it. This means that the seller doesn't have to be out of the home on your closing date, and you can give them additional time in the home to alleviate any stress that they may be going through with a tight closing date on their next home.
Use An Escalation Clause
Are you want to buy a particular home? You can offer an escalation clause, where you are willing to go beyond the top buyer with a specific amount of money. Offering an additional couple thousand dollars more than the highest offer can make your offer more appealing, and you won't avoid overpaying that much for the home.
Look at homes for sale in your area for more information.