They seem to be going on in all areas of the country where inventory is historically low. Do you know how to handle a bidding war, or are you going to let that dream home get away? Let’s talk about how to get this done right.
2018 Is a Seller’s Market Folks so Grip it, Embrace it, Own it!
The housing market remains tight nationwide (too many buyers, not enough inventory). How many people are at the open house? If there’s a line up of folks at the door before the Open House and your bumping into each other during the open house, chances are there will be at least one or two offers by the following day. Also if you put in an offer and the agent comes back with there were higher bids, that is now officially a bidding war.
So what comes in next?
Be prepared to go out with an official full doc pre approval and know what the highest payment you are willing to make a month including principle, interest, taxes, insurance and Private mortgage insurance. Your financial broker and agent will help you with this.
Make sure your offer goes in completely organized and before the listing agents deadline. I mean a copy of the listing, a signed sales agreement a copy of your financial pre approval and sometimes a personal letter of why you would like this to be your home can’t hurt either.
Try to find out when the seller would like to be out and let them know that you are listing terms which you believe to be traditional style in and out dates but that you are flexible if they need something else.
Please don’t think they are coming back with a “Highest and Best” offer. They may just pick from what they have so definitely, this is your dream home, put your best foot forward the first time.
Your offer gets accepted – Where are You.”
Your dealing with a “Time if of the Essence Issue Here.” If you can not be found it’s Goodbye Charlie! On to the next offer! This is a Great Way to Kill a Deal!
Keep a clear head.
Don’t be emotional; set a price and don’t be upset if you lose. Get your ducks in a row before entering the home purchase process. Don’t be afraid to walk when the bidding gets too rich but definitely leave your offer on the table. You know what they say about, “It’s Never Over.” You might be getting a call the following week.