With the supply of affordable homes so low, many buyers are dealing with multiple offer situations which can be a very uncertain, un-settling situation. Recently I worked with three families buying homes in multiple-offer deals. Here are their stories along with tips that may help you remain calm and carry on in tense, multiple-offer situations. The bottom line is to remember that there are things you can do to make your offer more desirable. Since every situation is different, it’s vital to have a good real estate agent on your side to recommend strategies to gain the attention of the sellers and end up winning the deal.
Story #1 – A wonderful, young couple I worked with found a great home in Smyrna – close to the Westside, Buckhead, downtown, and an affordable neighborhood popular with Millennials. We knew there were several offers already submitted for well-above asking price. After carefully reviewing the comps, we offered $35,000 over the asking price, a seven-day due diligence period, and for the cherry on top, earnest money equal to 2% of the offer price. By making these bold moves, we were able to win the home for the buyers.
Tip #1 – Offer to shorten due-diligence, which sellers prefer, and increase earnest money to show you’re serious. It’s a good attention getter!
Story #2 – My buyers really wanted to live in Loring Heights, a very desirable neighborhood next to Atlantic Station. We looked at a home that was, unfortunately, under contract as of the day we visited—and only two days after going on the market. Also unfortunate, it was the perfect house for my clients. They were so disappointed! However, I guess it was meant to be because the contract fell through and the home came back on the market. As soon as that happened we jumped on it, put in an offer for full asking price, short due diligence period and we agreed to pay some of the closing costs. The sellers were thrilled and we won the sale!
Tip #2 – Never give up on the perfect home until the sale is officially closed. Be ready to act fast! So many things can cause a sale to fall through and you can swoop in with a new contract.
Story #3 – This story is a testament to how hot our real estate market is. I had a family looking for a home on the Westside and we kept missing out on opportunities. We’d tour a home and immediately following we’d find out it was going under contract. The buyers were so discouraged. So, I got proactive and reached out to my network of real estate agents active in the area and asked them to let me know about any upcoming properties before they were formally listed. We were finally able to find a home that met all my clients needs and in the area they wanted.
Tip #3 – You have to be inventive, proactive, and aggressive when shopping in a seller’s market with low inventory. Think outside the box!
The ending of all these stories are happy, thankfully. However, I know there are lots of frustrated buyers out there. If you need some help in your home hunt in this tight market, let me know. I love helping families find a home they love in the neighborhood they desire, and I’d love to help you too!