We recently asked our followers to submit the questions about real estate. Overwhelmingly the question on everyone’s mind is: how can I present the perfect offer? We all know that the market is red hot and homes are flying off the shelf. Most homes are getting multiple offers within the first couple of days. How can you make your offer stand out from the competition? That’s exactly what we’ll be talking about when we show you “How to present the ‘Perfect Offer”.
- Preapproval – We all know you need to be approved to submit an offer, but make sure that you’re approval letter has the full purchase amount, terms, down payment, etc. We also recommend working with a reputable company, Sellers and Agents do not like to see an approval letter from an obscure internet bank they’ve never heard of. Get with us, we can recommend a couple great ones.
- Disclosures – Sign and acknowledge receipt of all disclosures! Another step in showing the Seller that you know and agree to what you’re getting in to.
- Earnest Money – Don’t submit $500 earnest money on a $200,000 home! We always recommend 1% of the list price as earnest money down. This is hands down one of the most effective ways to make the Seller feel at ease with your offer over another with less money down. It shows that you are actually putting skin in the game and are serious about pursuing their home.
With multiple offers on the line, you have to make your offer stand out. That’s why we are going to let you in on our 2 “Secret Sauce” methods to give your offer pole position over the competition.
- Write a genuine letter to the Seller – Tell them everything you like about the home, compliment them on the nice things they’ve done, and how they’ve kept up with it. For the Seller, it’s more than a monetary transaction. They’ve raised families, celebrated holidays, birthdays, made memories, etc. It’s an emotional transaction, and more times than not, a genuine letter from the Buyer sharing their family photo and how much they’ll enjoy the home speaks much louder than the competitors. It speaks to the emotional side of the brain, not just the logical and analytical.
- Proof of funds for your down payment – This is an unheard of practice! As an agent, I know how easy it is for a Buyer to receive a pre-approval letter based on them getting paid $X by the time they submit an offer. Imagine for a second that you have 3 offers on your house, all close to each other. The first two are the highest purchase price, but the third offer includes everything we talked about in the first 3 points + our 2 secret weapons. Knowing the financial viability of your Buyer is completely vague. Our method gives more assurance to the Seller that you are a true “ready, willing, and able” buyer.
That’s it. If you follow those 5 tips, you’ll be poised to win in those multiple offer situations. Don’t forget, before you think about submitting your offer, give the experts at DeBoor Group a call to represent you in one of the most important financial decisions of your life. You won’t regret it!