Now that we’ve entered the summer real estate market, we’re seeing more and more multiple-offer situations take place.
As you may recall, last year we did a video about this exact same topic, but the difference now is that home prices have increased. Last year, it seemed like every home under $275,000 was getting multiple offers. This year, that ceiling has crept up to $325,000. Similar to last year’s market, homes that are priced right may still attract multiple offers.
What does this mean for buyers and sellers? There are a few things to keep in mind.
If you’re a buyer, sellers will certainly look at the financials of your offer, so you’ll want to offer favorable terms like a strong earnest money deposit and a competitive closing date. This is especially important if you’re using financing and competing against cash offers. Another thing to note is that a lot of buyers are foregoing inspections, although we don’t recommend this.
If you’re a seller, you need to thoroughly review and understand not just the price, but the TERMS of the offers you receive. We’re seeing a lot of first-time buyers win out in a multiple-offer situation only to back out during the inspection period. Often this is due to the buying having to make a decision far more quickly on a home than they are ready to do.
If you want to ensure a smooth process from contract to close —whether you’re a buyer or seller—the best thing you can do is work with a real estate team such as ours, where you are working personally with the experienced licensee. On the buyer side, we know exactly how to structure contracts to put you in the best light possible. On the seller side, we know how to dissect offers and pick the best buyer of the bunch so your home sale stays together.
If you have any questions about this topic, don’t hesitate to reach out to us. We’d be happy to help you.