With a rapidly changing market and low inventory, homes are selling faster than ever. New listings can have several offers before your clients even have a chance to see the home. With this being the case, not only do you have to move quickly, you have to come prepared with offers that stand out above the others.
While it can be difficult to be the first of multiple offers coming in, you can make your offer the one that will get your clients the home they have fallen in love with. Check out some of the tips below.
Communicate With the Listing Agent
When your clients decided to purchase a home, they chose you to be the one to guide them through the process. When they find a home that they like, you have to move quickly to get the process going. The first thing you should do is contact the listing agent for the home.
When you contact the listing agent, ask questions about the home’s availability and if there are already other offers on the table for the home. If there are offers, try to find out what your clients are up against. Keep in mind that the listing agent may not be able to disclose anything to you at the request of the seller.
You should also inquire about the seller’s preferences; they may want you to use a specific title company or may have a specific timeline or possession date that would be convenient for them. The more you can make your clients’ offer align with the seller’s goals, the better chance you have of getting the home your clients want.
Keep Your Offer Simple
There is nothing simple about making an offer on a home. When your clients put in an offer, the best way to make it stand out is to keep the offer simple. The fewer contingencies that are put in place, the better. Some contingencies you might put in place range from a financing contingency to a home inspection contingency.
Also, when you put in an offer, keep in mind that it’s not all about price. Your client may be prepared to go well over asking, but remember that the best offer will be the sum of the terms that work best for the seller. While you want to make sure that your clients get the home, you don’t want them to overextend themselves.
Be Ready to Move Fast
When a new client decides to move forward with their home search, they will want to begin seeing homes. If you have an incredibly busy schedule, you may want to team up with your broker or another agent who can help show homes to your clients, so you don’t miss out on an opportunity to show the perfect home. Another option is to hire a licensed showing agent who can handle all of the showings and pass the transaction over to you once your clients find the home they want.
One Last Thing…
Writing an offer can be challenging and it takes time for the sellers and the listing agent to go through the offer and make their decision. Make sure to let your clients know that the waiting process is normal and can take a few days.
One thing you can do to make the main points of your offer stand out is to make a one-pager that outlines the terms and contingencies on the front of the offer package. This will give the seller and listing agent the opportunity to see what the offer entails from the beginning.
During a hot market where homes are selling as fast, you have to be diligent in writing your offer so that they will stand out from the rest. To join in on this conversation, head over to the Secrets of Top Selling Agents Facebook Group.
Rebecca Donatelli is a national speaker and serves on the National Association of REALTORS® YPN Advisory Board. She is founder of The Rebecca Donatelli Team with McDowell Homes Real Estate Services in Cleveland, Ohio. Her team is in the top 5 percent of REALTORS® in Northeast Ohio, and in 2019 she was honored in REALTOR® Magazine’s 30 under 30, class of 2019. She was also honored as the 2020 Lake & Geauga Area Association of REALTORS® “REALTOR® of the Year. For more information, please visit marketing.homes.com.
Most offers will be full price….Add this to your offer page: Taking our offer with a flexible closing date, in its present condition, will ensure less exposure of the COVID 19 virus in your home.
This is all good advice but it doesn’t work when your client goes $60,000 over asking on a dated house in a working-class suburb, waives inspection (but has had a pre-inspection and knows the house needs an electrical upgrade and a roof), passes on the offered $15,000 repair credit, offers a quick closing, and still doesn’t get the house because there were 18 offers and the successful one went $100,000 over asking.
Many times I suggest & recommend ,so buyers understand they have a choice that they can submit a form with their purchase agreement that states they will best all other offers by $1,000 with a cap on the highest they will pay as the purchase price…..the buyers initial offer can still be over asking as well.
It’s a good idea if the agent has done their homework knowing property values in the area….lots of factors to consider..I also find that preparing buyers for market conditions upfront so they know what to expect as far as the process involved,, empathizing with the emotions of buying and the absolute frenzy of this market helps calm their nerves….prepare them so they are not blindsided and trust is established. ..they’re nervous to begin with …help walk them thru the emotions of the process with consistent reassurance…..stay sensitive to how the buyers are experiencing it all