Writing a Competitive Offer
Securing a home in a seller’s market can be a challenge, but with these tips you can write a winning offer.
Pre-Approval Letter
Talking to a trusted lender is the first step in purchasing a home, not only because they help narrow down how much you will qualify for, but because they can also show you different loan programs, such as one for First Time Home Buyers, that are available. Once you have been approved, the pre-approval letter issued by your lender will help make your offer more competitive, allowing the seller to see that you have funds that are backed and that you are serious about purchasing.
Get Personal
Writing a cover letter, which is a relatively new technique in writing offers, can help make you stand out as a buyer, especially if there are multiple offers on the table. Often times we’ll recommend including a photo with the cover letter as well. Adding a personal touch to an offer can help the sellers see where you are coming from and see how much the purchase of their home would positively impact your life.
FIND OUT WHAT’S IMPORTANT TO THE SELLER
A good agent will ask what they can do to make the offer sweeter. This may be something as simple as extending the closing date, their choice in the Title Company, or offering a rent-back. You may only get one chance to make an impression and if the competition gets fierce, having a bit more leverage never hurts. Don’t forget selling a home is very emotional and playing to that could help win you that home.
An Agent That is Your Advocate
Having an agent that will take the time to help you understand how writing an offer works can be one of the most stress relieving processes. The 16 page Residential Purchase can seem daunting to anyone, but having someone explain the process can prepare you for everything to come, making for a quicker and smoother transaction. With the accompaniment of a pre-approval letter and a personal cover letter you are on your way to having a really competitive offer!
Competitive Offer
“Highest and best” is a phrase that is tossed around frequently when talking about offers. While going above list price in your offer can really help you stand out, it also hurts the wallet. Fortunately, there are other ways you can make a strong offer. There are other fees associated with the sale of a home, and by offering to share costs for things such as city transfer or escrow fees can make your offer competitive without going way above list price in order to get your dream home.
Curious what our market has to offer? Get in touch and we can tell you all about the buying process and show you some houses!
With my love of all things design and food, it was only natural for me to start a blog. I want to share with others my adventures as I travel, eat, read, photograph, and discover my way through Sacramento. As a Realtor, it’s important to me to know what’s happening in my community. And why not share that with you?