In hot real estate markets around the country, bidding wars are becoming more common. While the process may be intimidating for many buyers, help them compete with other offers with these tips.
Preparation is the foundation for a great competitive offer. Prepare your clients by explaining what a competitive offer situation is, what the process generally looks like and discuss any pros and cons. The more information your clients have about this time of situation, the better they will be able to handle any curve balls.
In multiple offer situations, the seller often chooses the offer that is the most beneficial to them. Discuss what your buyers would be willing to give up for a more competitive offer. Maybe they won’t ask for the washer and dryer to be thrown into the deal or they’ll pay their closing costs themselves. Whatever it is, make sure that it’s something they can live with.
Deals can be lost if all of the required paperwork isn’t submitted. Make sure that all of the addendums and disclosures have been printed and looked over. Also, ensure that the lender’s preapproval letter and any other financial documentation has been taken care of.
Just as Santa makes a list and check it twice, look over all of the paperwork and make sure that everything is signed, initialed and dated before sending it off. Don’t lose a bidding war over something as silly as a missing signature.
Throughout the process, be candid and truthful with your clients, reassure them of what’s normal and help them set realistic expectations of the process. This will help to diffuse frustration and help them to understand the process. Also, remember to keep in touch with them while you’re waiting for a response; this will prevent frustrations.