So you’ve finally found your dream home. Now you have to make the right offer and hope it gets accepted. If you’re facing tough competition to secure the home, you’re going to want to make sure your offer stands above the rest.
Don’t let this opportunity slip away. Your experienced McAllen realtors at Equity Assets Realty want to give you a few pointers to help ensure your offer gets accepted. Make your bid as strong as possible with these 9 fantastic tips.
Making the Best Offer That You Can
1. Make a full cash offer.
While this can understandably be difficult for some homebuyers, it truly is your best bet at securing the home of your dreams. For sellers, this means not having to wait for a mortgage to get passed and paid out, no appraisal requirements, no financing contingencies, and no issues with the deal falling through.
Making a full cash offer is the quickest, most efficient manner to grab a seller’s attention. (Assuming that your offer is close to the selling price.)
2. Make the largest down payment that you possibly can.
A large down payment is going to highlight your financial stability and the high likelihood that you’ll be able to successfully secure a mortgage loan. A large downpayment is going to be more than the traditional 20%. The more, the better.
3. Offer above the asking price.
If you really want a house, never bid low and hope you get a bite. In fact, you’ll want to offer above the asking price to beat out what is likely to be a multiple-bid situation. Make your best (and highest) offer right out the gate.
4. Get a preapproval letter from a lender.
This is essential to your offer and should be done before even attempting to make an offer. A preapproval letter provides proof that you are in a financially strong situation and will be able to secure a mortgage loan to finance the house.
This can really showcase how serious and prepared you are to get the deal done. Even if another buyer offers more money, if they haven’t secured a preapproval, then your offer will still stand out.
5. Make a contingency-free offer.
Your offer should not come with any contingencies – such as the sale of your current home – or any seller concessions. Do not ask for assistance with closing costs or make requests that they include some of their personal property in the sale (such as a dining room table or any outdoor furniture).
6. Be flexible with the seller’s needs.
Be as accommodating to the seller as possible; if they are ready to get out of their home immediately, then offer a shorter closing period. If they need a longer period of time to secure new housing for themselves, then offer them a free month of occupancy in the home.
You might want to offer to pay the seller’s Owner’s Title Policy and transfer tax. While this may add a bit to your expenses, it’ll definitely sweeten the deal for the seller.
7. Put down a sizable earnest money deposit.
While this may seem risky, it actually shows how dedicated you are to upholding your end of the bargain. A bigger deposit won’t hurt you in the long run as it’ll go towards your down payment.
On the other hand, if you’re having doubts about the home and are afraid to put down a big deposit, then the house might not be right for you.
8. Provide as much proof as possible.
Items to consider utilizing to enhance the likelihood of having your home purchasing offer accepted include:
- A loan approval letter that notes what type of financing the buyer is getting and how much you will be putting towards the down payment.
- Proof of down payment funds.
- Include an escalation clause in your offer.
9. Tug at the heartstrings.
Write a personal letter to go along with your offer, touching on what you love so much about the home and why you are the right buyer. Making a personal connection can do wonders in helping you stand out from the crowd. You might even want to include a family picture too to help sway the seller emotionally.
Want to make the best offer that you possibly can? The McAllen realtors at Equity Assets Realty can help!
Contact Equity Assets Realty today at 956-994-9455 to start the process of securing your dream home in the Rio Grande Valley.
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