The real estate market has been hot for the better part of 2020, with historically low interest rates benefiting buyers. However, it being such a great time to buy a home has resulted in a very competitive housing market. If you’re looking to buy a home now, you may find yourself in a multiple offer situation, in other words, a bidding war. This can be daunting, but don’t stress!
Follow these tips from our experienced team of real estate agents on how to win in a multiple-offer situation, and find yourself one step closer to move-in day!
- Offer the most you are prepared to pay – If you shoot low with a below asking price, the sellers will most likely receive a higher offer and not choose yours. If the listing price is lower than your budget, and you offer somewhat higher, you have a better chance of beating out other offers. Do this with your first offer, because you may not get a chance to make a counter offer.
- DON’T ask your agent to tell the seller you will pay more if they receive other offers – This trick is useless because the seller now knows you are able and willing to pay more. Skip this step and offer the higher amount the first time to save wasted time.
- Offer an uneven number – Most buyers will offer an even number so it is possible to win by a very small amount if you offer uneven. In some cases, you could win out by offering just $1.00 more than another buyer. (*results may vary, other factors may apply).
- Always make the offer – Buyers may be nervous about submitting an offer because they think the sellers have already received higher offers and it will be a waste of their time. Remember, other buyers might feel the same and move on to another home without having put in an offer either. You never know unless you try and it doesn’t cost anything to make an offer.
- Make your offer FAST – Inventory is very low right now, so if you like the home, make an offer immediately. The sellers may be extremely motivated to sell and accept your offer right away without seeing what other offers they get. Sometimes it pays to be first.
Lastly, If you find yourself in a multiple offer situation and you lose, don’t give up! If it’s meant to be your home, it won’t pass by. Keep looking.