There are stories in neighborhoods throughout the country of the same buyer making numerous offers on homes and losing out to a higher or more attractive bid. This buying frenzy varies depending on location. I just had a buyer make an offer on a studio in San Francisco and went 3% above asking price. There were an astounding 30 offers on this fixer-upper and we were nowhere in the ballpark. it’s all relative and most properties will not have this type of hysteria. Every buyer has to have some emotional attachment to a home before making an offer, but the logical side realizes there is a bottom line or limit on what they will pay for any home.
Every situation is different and home buyers have to be in tune with the flow of that particular housing market. Whether the market is depressed or properties are promptly moving, serious buyers have to be conscious of those conditions. If homes in specific neighborhoods are receiving multiple offers, then buyers have to grasp reality and understand that even a full price proposal might not produce results. If a home has been on the market for a prolonged period, prospects can make the assumption there might be some room to negotiate price and terms.
When many prospects are attracted to the same home, motivation will decide which buyer purchases that property. The majority of buyers will not blindly offer a price drastically above the sellers asking price. What strategies can work that favor the buyer in negotiations on a property with multiple offers involved? The buyers realtor should find out as much about the sellers wants and desires as possible. These answers will assist the buyer in making a proposal that is more seller friendly. The price is vital, but occasionally not the most important criteria.
Homeowners that are purchasing another property and needs a swift close, will consider that point above price. Buyers are rightly protected by a number of contingencies in the purchase contract. Prospects can remove some of those contingencies that would make their offer more appealing. Sometimes it’s the small issues that can make a difference, two identical proposals and one is offering a larger deposit might sway a seller. Making an offer that assures acceptance should be the goal of every buyer, especially in this climate with adjusted prices and bargain basement mortgage rates. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs, join my professional networks on Twitter and LinkedIn and easy access to view local area homes for sale in Davis, California and the surrounding communities.