So now that you’ve done the fun part-searched around for some homes, and found the one you want-what happens next? How do you make the offer so that you can successfully purchase this home?
"Don’t make it all about the money."
There are three important things to keep in mind:
- You must act quickly. In today’s market, homes do not sit long when they’re priced well and in good condition. If you’ve identified the right home, make sure that you don’t overthink the process of submitting an offer for it, otherwise someone might swoop in and steal it from under your nose.
- You must be reasonable. In the Des Moines metro area, most homes sell within 1% and 2% of the list price. Whether that’s above or below depends on the market area. It’s not a successful strategy, even when we’re trying to test the seller, to approach them with an offer that’s only 90% of the list value. All that will do is upset them and give off the impression that you’re not a serious buyer.
- Don’t make it all about the money. Instead of getting caught up in the facts and figures, try utilizing some other terms that might make your offer more attractive to the seller. These terms can include having a flexible closing and possession date, what kind of personal property gets delegated, and having a shorter inspection period. There are many different ways we can mold the offer so that it isn’t exclusively focused on price. Remember - this property was likely the seller’s home. They might still have a great deal of emotional connection to it. When you share with them why you love it and why you could see your family living there, it appeals to their emotions.
Now is not the time to be working with someone who is just a hobbyist. You need a negotiation expert. This distinction will make the difference between successfully getting the home you want or settling for your second or third option.
As always, if you have any questions, please give us a call or send us an email. We would be happy to help you!
