Multiple Offers 4 Tips to Win the Bid - Keep Your Head On Straight!

By
Real Estate Broker/Owner with Phoenix Property Shoppe AZ Broker BR030809000
http://actvra.in/52Nz

 

For home buyers dealing with multiple offers can be frustrating! Here's a few tips for home buyers to help them get and keep their heads on straight and deal with the transaction from a business position - not an emotional position. I know, I know that's not so easy at times when it comes to your  buying a home but it really is necessary.

 

 Multiple Offers 4 Tips to Win the Bid - Keep Your Head On Straight!

 

  Multiple Offers 4 Tips to Win the Bid - Keep Your Head On Straight!

 

1. Loan Qualification. The first and most important action a home buyer must absolutely take is not only getting 'pre-qualified but rather go through the steps to get a full loan approval. Why?  Because you want to prove to the seller than you are 100% ready, willing and able to purchase their home. I can't tell you how many times I've received offers and the buyers qualification isn't included and/or it's poorly done at best. If you're paying cash for the home you will need proof of funds for the entire amount.  Do you really think in a stack of 10 or so offers that you're putting your best foot forward if you're not fully approved or have proof of funds? I didn't think so.

 

2. Don't even think about making a low ball offer. I know some buyers think they can get a 'smoking deal' but that's not how it really works when your up against a bunch of other buyers that really want the home and aren't playing a 'game'. Your agent should pull the neighborhood comps as well as have a very good indication of where the market is trending. At this point you'll have a good idea of what you should offer to win the bid.  You just might have to go over list price if you're in a HOT HOT HOT market. But - please know that sometimes it makes good financial sense to walk away and look for another opportunity. That's where hiring an experienced and trusted agent comes into play. They will help you make your decision -  should you go ahead and make an offer or walk away and find another home?

 

3. Your agent should build rapport, if possible, with the listing agent. There have been many times when we've had a lot of offers on a property and a few of the  buyers agents were down right rude and pushy.  Not so good for you - trust me on this one. Sometimes that's a sign it won't be an easy closing for you, the seller or anybody.  It's also good for your agent to discuss with the listing agent that you have full loan documentation and that you're ready, williing and able to close on this home ASAP.

 

4. Complete ALL necessary offer forms! Now that may seem like a no brainer but there have been many times when I've received offers that are missing important addendum's and/or contract forms.  That means I need to track down the buyers agent and ask them to submit them before we go over the offers with the seller. This isn't so easy at times.....and in fact the seller may decide to only look at complete offers on the table. So if there has been a form or two that is missing and your agent calls and says we need this form signed - now - they mean it!  When the listing agent reviews all the offers with the seller they have completely reviewed each offer very carefully. Personally I denote the good, the not so good and the darn right ugly parts of each offer to the seller. You want your offer to SAY - chose MY 0ffer. If your offer is completed with excellence and all your loan documentation is in hand you have a much better chance of winning the bid. Good luck!

 

 

 Multiple Offers 4 Tips to Win the Bid - Keep Your Head On Straight!

Posted by
Phoenix Property Shoppe  

 

 

Anna "Banana" Kruchten
Designated Broker & Owner
CRS,CRB,GRI


Phoenix Homes For Sale

 

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Re-Blogged 2 times:

Re-Blogged By Re-Blogged At
  1. Debbie Reynolds 04/11/2017 12:00 PM
  2. Roy Kelley 05/12/2017 01:00 AM
Topic:
Home Buying
Location:
Arizona Maricopa County Phoenix
Groups:
Certified Residential Specialists
Posts to Localism
Bananatude
Bartender, Make it a Double
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Tags:
buying a home in phoenix
how to work with multiple offers

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Rainer
116,810
Sam Kader
Pacific Coast Financial LLC - Seattle, WA
Real Estate and Mortgage Broker

Great tips Anna! I think we covered them all.

 

Apr 10, 2017 07:54 PM #33
Rainmaker
122,053
Melissa E. Spittel
Coldwell Banker Residential Brokerage - Westminster, MD
"Achieving Results Together "

Winning the bid can certainly be a challenge. Your great post made me reflect on a situation with a buyer last fall. Met my 1st-time homebuyer at a fixer-upper. Upon arrival, an investor was there to see the same property, and of course my buyer was intimidated. My 1st-time buyer could see herself living there and wasn't afraid of a renovation loan. There were multiple offers but my buyer wanted to "get in the mix". I don't usually advocate for those "buyer letters that say pick me". However, my buyer wrote a heart-felt letter to the seller, and she went under contract! She settled on the home and I'm looking forward to stopping by for a visit to see the renovations. 

Apr 10, 2017 08:32 PM #34
Ambassador
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Debe Maxwell, CRS
www.AtHomesCharlotte.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

Great entry, Anna and all excellent points!  I have to say that one of my pet peeves is having every single document together in one email with a list of each of them for the listing agent. I have been thanked countless times for that - it makes their review with the sellers so much easier and puts my buyers' Offer at the front of the stack!

Apr 10, 2017 08:59 PM #35
Rainer
418,894
Kimo Jarrett
WikiWiki Realty - Huntington Beach, CA
Pro Lifestyle Solutions

The key to winning any negotiation is the ability to walk away, yet, I've represented buyers/investors who were willing to bring more cash to close the transaction because of the intrinsic value or their projected future value regarding the property, especially if it was a very desirable property.

I'm not sure how building rapport with a listing agent is going to secure a property with multiple offers since the offer will determine the sale, or am I missing something? 

Apr 10, 2017 11:37 PM #36
Ambassador
3,065,882
Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams fox cities - Stevens Point, WI
Forestland Experts! 715-204-9671

Wise tips Anna

We are in selling mode right now, and our big three are a great preapproval letter, a clean offer, and a top price.

Apr 10, 2017 11:49 PM #37
Rainmaker
281,772
John Wiley
Jones & Co. Realty - Fort Myers, FL
Lee County, FL Real Estate GRI, SRES,GREEN,PSA

Gaining the winning offer is built on the work done before the offer.

What a great list.

Thanks

Apr 11, 2017 07:55 AM #38
Rainer
137,393
Theresa Akin
CORPUS CHRISTI REALTY GROUP - Corpus Christi, TX

Great tips now to get the buyers to understand not everyone wants to play their low-ball games.

Apr 11, 2017 09:37 AM #39
Rainmaker
1,390,434
Sybil Campbell
Long and Foster REALTORS® 5234 Monticello Ave Williamsburg, Virginia - Williamsburg, VA
REALTOR® ABR, SFR, SRES Williamsburg, Virginia

That's great advice Anna.  In a multiple offer situation, everything needs to be in order for sure.

Apr 11, 2017 11:43 AM #40
Rainer
374,662
Dörte Engel
RE/MAX Leading Edge - Bowie, MD
ABC - Annapolis, Bowie, Crofton & rest of Maryland

Dear Anna,

When you have challenges, being fast with your very best shot can make all the difference.

Apr 11, 2017 01:32 PM #41
Rainmaker
2,424,725
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of Manchester NH's Leading Agents

Well said Anna Banana Kruchten, CRS and where most new listing have mor ethan 1 nid, these tips can sure help a buyer get theirs accepted

Apr 11, 2017 01:47 PM #42
Rainmaker
1,297,924
Beth Atalay
Cam Realty and Property Management - Clermont, FL
Cam Realty of Clermont FL

Anna Banana Kruchten, CRS, only one buyer's offer gets accepted and the strongest offer wins, not necessarily the highest. These are great tips, LOVE the pictures on the post.

Apr 11, 2017 02:11 PM #43
Rainmaker
260,162
Dan Derito
Success! Real Estate - Brockton, MA

Multiple offer situations call for the buyer to"Tee it Up."  Show the seller that you are ready willing and able.  Be sure your financing is in place before we even go look at homes.  Thank you for tying it together, all good points. 

Apr 11, 2017 08:32 PM #44
Rainmaker
4,231,653
Roy Kelley
Realty Group Referrals - Gaithersburg, MD
Roy and Dolores Kelley Photographs

Congratulations on your feature recognition. This is excellent advice to share with prospective home buyers.

Apr 12, 2017 04:56 AM #45
Rainmaker
1,288,270
Lyn Sims
RE/MAX Suburban - Schaumburg, IL
Schaumburg IL Area Real Estate

So many agents just don't do the prep work to make the offer go smoothly for their clients. But ... they are the 1st ones to complain when things don't go right or their offer gets turned down. How about, it was hardly filled out.

Apr 13, 2017 02:23 PM #46
Rainmaker
1,880,146
Sharon Tara
Sharon Tara Transformations - Portsmouth, NH
New Hampshire Home Stager

Great tips Anna and I LOVE the picture! Perfect for your title!

Apr 14, 2017 05:50 AM #47
Rainer
395,184
Cliff Keith
Today Sotheby's International Realty - Redwood City, CA
Redwood City Real Estate

Anna Banana Kruchten, CRS Great tips every home buyer should read and comply with when they decide to purchase a home. Nice.

Apr 15, 2017 08:41 AM #48
Rainmaker
1,562,858
Patricia Feager
DFW FINE PROPERTIES - Southlake, TX
Selling Homes Changing Lives

Anna Banana Kruchten, CRS - These are TRUE pearls of wisdom! A wise agent who doesn't know this would heed your advice and guide their clients by sharing this type of information. You truly deserved this feature recognition!

Apr 17, 2017 07:26 AM #49
Rainmaker
383,798
Pat Starnes, Brandon, MS
Front Gate Real Estate - Brandon, MS
Broker Associate, ABR, 601-278-4513

One cannot hope to win a bid in a multiple offer situation by low-balling. Put your best foot (offer) forward!

Apr 22, 2017 01:24 PM #50
Rainmaker
861,685
Les & Sarah Oswald
Eastvale Team Realty & Property Mgmt - Eastvale, CA
Broker, Realtor and Investor

Presenting one's best foot forward is an indication of willingness and seriousness to negotiate.

Apr 24, 2017 12:39 PM #51
Rainmaker
590,284
Kasey & John Boles
Jon Gosche Real Estate, LLC - BoiseMeridianRealEstate.com - Boise, ID
Boise & Meridian, ID Ada/Canyon/Gem/Boise Counties

We wrote some similar tips Anna Banana, and therefore I love your post!  Lol, just kidding.  But, seriously, great tips. -Kasey

Apr 28, 2017 08:41 PM #52
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