Buying a home in a solid Seller’s market like Nanaimo can be really tough. To be successful you need to work with a REALTOR® who knows how to play the game and win, for you.
They need to be both aggressive and very good at working with other Realtors in a win-win way, yet willing to push hard when needed. And they need to be tenacious and persistent, creative in their approach, and on top of new listings the moment they become available. And when you do lose out on house, learn to just say to yourself, “So what, next?”
Don’t give up, follow the pointers below and work with a great Buyer’s Agent and you will get a house you like eventually.
Get Your Money Ducks in a Row
Having your financing pre-approved is key in a multiple offer situation, it will strengthen your position and keep you within your budget. Be careful however about “conditional mortgage approvals”. Before you even think of removing “subject to financing”, ask your broker, or banker, how solid the “pre” approval actually is. There are often conditions allowing the financing offer to be pulled at anytime.
Have Fewer Subjects
In a multiple offer situation, waiving or not including as many contingencies, can make one offer more desirable than the next. While it’s not recommended in most cases to waive the opportunity to perform a home inspection, waiving a home inspection is very appealing to a seller. I suggest actually booking an inspection before the offer is even made so you can tighten up the dates in your offer.
Work with the Sellers
Understanding what the sellers’ plans are is important in a multiple offer situation. A great real estate agent should first find out either from the seller directly or from the sellers real estate agent, what the sellers plan is. Once this information is obtained, the purchase offer can be structured in a way that is more appealing to a seller.
Make a Large Deposit
Putting a large deposit in an offer shows you are serious and have skin in the game, and it implies that you are both willing, and able, to complete the deal.
Put Your Best Foot Forward
In a multiple offer situation, don’t low ball! It’s heartbreaking and frustrating to a buyer when they lose out on a home, but expecting to win in a multiple offer situation while low balling is silly. If a buyer is in love with a home and there are multiple offers, the buyer needs to know, they will have one chance and one chance only at getting that home. A seller is likely to review all the offers and either accept one of them, or choose one of them to “work with.” Put your best foot forward right out of the gate!
Don’t be Too Polite
A very common scenario in this market is the scheduling of offers to be reviewed at a specific time usually a few days or more after the listing goes live. This is a tactic to get in as many offers as possible. To essentially manufacture a multiple offer situation. The antidote is called a “bully offer”, a tactic that I use, often successfully, when working with buyers.