How To Get The Winning Offer In A Low Inventory Housing Market

Currently, the real estate market is a sellers market. A seller lists their home for sale and it is bought within a couple days or weeks. Yet, what happens when you are a buyer? You want to buy a home but homes are selling so quickly, you don’t know what to do. Well, we created a short list of tips to make sure you get the winning offer!

Consider offering above the asking price

               Typically, sellers want to receive the highest price for their home. If you really want a home, an above-asking price offer will catch the seller’s attention and increase your probability of receiving the accepted offer. Yet, you must make sure that you can afford your offer. To receive a larger offer, you’ll need to qualify and receive a larger mortgage. Be aware that banks are typically less likely to approve a mortgage that is higher than the home is worth. If you are not likely to get approved for a larger mortgage, consider offering cash upfront. By offering cash upfront, you are once again catching the seller’s attention and showing them that you seriously want to purchase the home.

Spruce up your offer letter

               When most people sell their home, they want to make sure the buyers will fit into the neighborhood and take care of the house. To prove to a seller that you are a good fit, write a letter explaining why you want to live in the neighborhood and why you love the house. Especially if a buyer is trying to decide between two offers, an offer letter could ease their worries and convince them that you are the perfect buyer for their home.

 Be speedy

               When the real estate market has low inventory, homes are bought extremely quickly due to the high demand. If you find a home that you love and can afford, act fast. Send your offer as soon as you can. Waiting a few days or weeks could mean losing the home to another buyer. Also remember that with few houses on the market, there will be heavy competition. Even with a fast offer, someone else might offer a higher price and receive the home. Just keep trying.

Be adjustable on closing dates

               Sometimes sellers need to close quickly. In this case, if you are willing to have a flexible closing date, then your offer may be more appealing to a seller. You can offer to shorten the inspection time and get pre-approved for your mortgage so your lender can start the underwriting process early.  

By Anna Hellman