How To Survive A Bidding War?
For its rapid growth, the housing market is becoming more of a seller’s market. But where does it leave the buyers? Obviously the buyers are left with a few choices. Sellers want to maintain a grip over the market with their offerings of high-quality properties that would otherwise not be available for sale. So, the question is how to win a bidding war despite setbacks.
The basic supply and demand law of economics makes it clear that when the demand for a good is higher, the price will rise and there will be many interested parties willing to buy that product. A multiple offer situation is kind of nightmarish for any buyer. However, your realtor can help you to try some tactics to stay ahead of your competitors.
Before placing an order you must review every term and condition, apart from price. This gives you a concrete base to make an offer from. The seller has many options to choose from, so you need to submit the best possible proposal. You can make the seller more interested by giving what was asked for. Even minor things can create a big impact upon the seller. The seller needs to get the feeling that you are playing by his rules. You can deposit the asked amount or follow the closing date to prove your seriousness to the seller. Besides, maintain regular, friendly communication with the seller to make sure you are on top of the game.
Getting pre-approved before the offer date is something that you should consider seriously. To be eligible, fulfill all the conditions like: paying credit card debts, employment letters, and check stubs. If the approval for mortgage is set at $250,000, then why waste energy applying for $260,000.
Do you think you can afford to buy a home without putting in an extraordinary condition? This question has to be answered in collaboration with your mortgage lender. As you are able to submit an offer without any financial condition, your offer becomes more viable to the seller. The seller feels confident that you are not going to change your mind the next day owing to fund shortage. No matter what the price is, you can only expect the best as you put more effort on making your offer firm, rather than adding a condition. This way your offer will seem more serious to the seller, and he or she will give it priority before other contenders.