Here are three tips for strengthening your offer in this competitive market.
Here are three things that you must do when making an offer in today’s real estate market to increase your chances of getting that offer accepted:
1. Be educated. Listen to your agent. Do extra research on home values in the neighborhood you’re choosing to buy into. Don’t look at the past 60 or 90 days. Look at the leading indicators (i.e., pending and closed sales).
2. Offer an appraisal gap clause. If you make an offer of $525,000 on a home that’s listed at $500,000, you need to let the seller know that you’re willing to go up to that price even if the home’s appraisal comes in lower.
“Educate yourself on the market and pay close attention to leading indicators.”
3. Offer a seller rent-back. With our low inventory of homes, sellers are worried about finding their next home. Offering a rent-back upfront gives sellers peace of mind that they will have time to find a new home in this competitive home-buying market.
Bonus tip: Don’t give up! We’re expecting home appreciation to hit 9% this year in San Diego. It’s really tough out there right now, but if you work with an experienced agent who knows the neighborhood you want to buy in, you’re in a much better position to win. And you will win if you stay patient.
If you have any questions for me, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.
