Multiple offers are very common in our current Front Range market. Let’s be honest, it is stressful out there right now. Buyers need to think about how they can make their offer more attractive to sellers who are reviewing multiple offers (sometimes a dozen at a time!) Here are some things I am doing that are helping my buyers “win” the house.
1) I always call the listing agent to find out if there are any requirements/preferences for the seller. This is important. Do the sellers want a quick close? To stay in the house after they close? Time to find another house? This is the first step towards gauging the seller’s needs…
2) Let’s talk about contingencies. The Colorado Contract to Buy/Sell is very buyer friendly. Buyers have numerous opportunities in the contract to rightfully terminate: title objection, inspection objection, appraisal objection (yes we are seeing appraisal issues in this rapidly rising market). Sellers want to get through all of those contingencies/objection deadlines as quickly as possible. That means scheduling inspections and appraisals right away and writing a contract with “tight” dates. We can take that a step further and offer to buy a property as-is or pay above appraised value. I use these tactics with caution (dependent on the property and offer price), but if you are “flexible” as a buyer that will help.
3) Financing. Most people finance their home purchase. This process is much more time intensive than it was several years ago. You need to have all your paperwork in to your lender before you even find a house. That means the day that you go under contract they can get your file rolling towards approval and get the appraisal ordered. I also have the lender for my buyers call the listing agent when we submit an offer to assure the listing agent that my buyers are well qualified and the financing side of things will roll along smoothly. That phone call (and lender letter) give the seller and listing agent much needed confidence in choosing your offer over another buyer also getting a loan.
There are other small ways to show how invested you are in getting a property (putting down more earnest money than requested), dotting your Ts and crossing your Is in all the contracts and disclosures (I’m a stickler about this) and staying on top of correspondence.
These are just some ideas and tactics I have been using with my buyer clients in this very competitive market. Let’s go get that house!