In many areas there are so many buyers that there is more than one offer submitted on a property at the same time. In fact, I know an agent with a buyer who was up against 73 other bidders! Obviously, the property sold for well over the asking price and my friend’s client didn’t get the house.
In a sellers’ market you need to work with an agent with extensive experience with multiple offers which will increase your chances of buying the home you want. Here are just a couple of traits in an agent to look for:
1. Builds a strong relationship with the listing agent of the property you want to buy through numerous subtle contacts before writing an offer. (Ask how he or she accomplishes this)
2. Discovers what the seller is looking for in an offer including approximate price, terms, closing date, rent-back period (if any), personal property included, etc. This makes the offer as “clean” as possible”.
3. Tries to present your offer in-person to the listing agent and/or seller. Personally pleading your case can dramatically increase your chances of an accepted offer over simply sending it by email which the most average agents do. (Pretty lazy, eh?)
3. Works with your lender (if you need a loan) to make your offer as attractive in terms of quickest closing date, pre-underwriting, etc. You may be in competition with all-cash offers so making your loan look as good as possible improves your odds of an accepted offer.
4. Is well-known in the local real estate community which increase the chances that your agent might be familiar to the listing agent. Listing agents would rather work with a selling agent they know and are comfortable with as opposed to a total stranger with a slightly higher offer.
5. Regularly attends the local real estate marketing meetings to find out about upcoming properties that are not yet on the market. As a result, you might be able to see the perfect property and make an offer on it before it even hits the market.
6. Has you write a personalized letter to the seller explaining why you love their home and a bit about you and your family. Although a bit cheesy, getting the seller emotionally attached to the buyer has been known to be a major factor in getting a home in many multiple offer situations.
7. Is a master negotiator familiar with all of the subtleties of real estate bargaining. To test their haggling skills try asking for a rebate on their selling commission and see what they say… Any experienced agent should be able to easily justify the value of their compensation.
8. Uses creative techniques to get your offer accepted no matter how much competition there might be. Ask any agent you interview about how they can give you an edge in multiple offer situations.
These techniques and more that experienced and savvy agents employ can dramatically increase your chances of an accepted offer in multiple-offer situations. Please choose your real estate professional carefully whether it’s a buyers’ or sellers’ market because your next transaction depends on it!