You found a home!
Now comes the most serious and exciting part of the entire home buying process – making an offer.
Here are 5 tips to help you make a winning home offer
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Show proof of funds
First of all, your offer package must include pre-approval letter and a proof of fund for downpayment and closing costs. A pre-approval is an assurance to the seller that you are able to finance the home. Home offers with attached pre-approval letter are taken more seriously by the seller.
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Review disclosures
You must review the disclosures closely before committing to a purchase. Seller disclosures are required by law, therefore, he or she should state improvements, structural issues that may affect its value. These should be made known to the buyer so these issues may be addressed ahead of time.
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Understand your comps (comparable home sold in the area)
Your home offer needs to resonate with the current local market. Do your local research on selling prices of recently bought houses comparable to the one you’re looking at.
Also, take note how long it has been out in the market. If it has been out there for a while then it is not getting a lot of offers. The longer it has been there the more likely the seller will accept a lower offer.
This information will help you draft a reasonable offer.
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Offer Strategies
Understand how much interest that home has. It is always good to know your competition. Be sure to find out how many have looked into the property, how many people went to the open house and how many people got more serious and have requested disclosures from sellers. It will give you a good idea of how much to offer.
You should know when you should submit the offer. This is one important strategy that you should consider. Normally, the first buyer who engages the seller and offers the best price possible gets the deal. And always be prompt in responding to counter offers.
Buying a property is not as easy you would think. The whole process can be exhausting and frustrating and it is best to ask the help of a trusted agent. This is to ensure that you are advised accordingly and that all bases will be covered.
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Be a darling buyer
Letting go of a property can be an emotional experience for the seller. So, write a heartfelt letter to show your intent and eagerness to own the home. This will help see that you would value their home as much as they did. Therefore, this could help you land the deal.
What have you included in your offer package? Share your winning strategy.