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How you can be like a cash buyer

By
Real Estate Agent with KW Fayetteville

When buying a home and placing offers how you are presented to a potential home seller makes a difference in how you are accepted. In fact, if you are presented poorly you may not be accepted at all. Presentation during the buying process is multifaceted but let's focus for a moment on qualification. The term is used loosely in real estate but what it really means is that a buyer is ready, willing and able to buy a house not just "maybe" ready, willing and able. Many buyers are presented as "maybes" and lose out because of it.

I'm not talking about a simple prequalification like most agents do over the phone. That is just the beginning. To show sellers you are truly qualified and serious, when placing an offer, provide proof of funds and an appropriate earnest money deposit. If a mortgage is needed provide a qualification letter from a respected mortgage professional with only an appraisal contingency. This places you in the rock solid position, ahead of competing buyers, as a ready, willing and able buyer. Most prequalification letters are really just "maybe" letters because they are subject to too many contingencies. An experienced seller's agent will spot that immediately.

Show you are serious and qualified and your offer looks just as strong as a cash and that's what sellers are looking for. Happy home hunting from a Fayetteville NC real estate agent.

 

 

Linda Reynolds
Bradenton Real Estate - Linda Reynolds - Bradenton, FL
Bradenton Real Estate
I agree with most of what you say, but even if I have a solid buyer and they are getting financing, I use the contigency clause for financing because you never know what can happen and it is in my buyer's best interest to protect that escrow check.
Aug 04, 2007 06:15 AM
William Moore
Innovative Realty - Londonderry, NH

Couple thoughts -

I see a difference in commitment from a lender as follows:

Prequalification is simply a way of saying if everything else is perfect and the buyers income is what they say it is then we feel they can afford $X for a home.

Preapproval is much more of a commitment - it states that certain verification has occurred on the part of the lender and based on that additional scrutiny the buyer is approved up to certain dollar amount.

The best buyer is one who is "Ready, Willing and Able" and the Preapproval Letter demonstrates that.

Aug 04, 2007 06:43 AM
Doug Aaserude
Inactive until May. 2009 - Beaverton, OR
Broker
many people confuse a pre qualified and a pre approved buyer. it is important to know and understand the difference.
Aug 04, 2007 07:13 AM