How can you get your offer accepted out of the sometimes 50 other offers for the same home? We’re in a hot seller’s market, and we’re seeing at least five and occasionally over 50 offers on one house. Here are a few tips to help your offer stand out to the seller:
1. Remove the appraisal contingency. The lender will loan up to 80% of the appraised value, so if you’re putting down an extra 10% or 20%, it doesn’t matter what number the appraisal comes in at—you can just remove it. That will give the seller more confidence to move forward with your offer.
2. Perform the physical inspection before the offer is accepted. If you do that, you can remove the inspection contingency. The seller will be more confident with your offer because they know you won’t try to come back and negotiate large things like a new roof or re-plumbing the property.
“We’re seeing at least five and occasionally over 50 offers on one house.”
3. Include an escalation clause. This clause says that you’ll pay X amount of dollars over any verified offer. For example, if the winning bid is $1 million, our offer will say you’ll pay $1 million or $10,000 over any other verified offer. This may make the seller choose your offer because it has the highest price attached.
4. Write a letter to the seller. Sometimes it’s not about the down payment or inspection for the seller because they have such an emotional attachment to the home. So tell them why you love the home, why you want to be in that neighborhood, and a little about you and your family. You’re trying to create a connection so that if it comes down to two almost identical offers, they’ll feel that connection and want to choose yours.
We have a few other tips to help your offer stand out, so if you’d like to hear them or have any questions, give us a call or send an email. We can discuss this or any other real estate matter. We would love to be your real estate resource.