Whether it’s your first or fifth house, there’s nothing like the excitement of closing on a new home.
In fact, September sales reports for Sussex County, NJ showed that single-family home purchases are up roughly 42% from last September. With its rural charm and quaint walking towns, it’s no wonder more and more families are rushing to purchase in Sussex County.
But what happens when you’ve found your dream home, only to realize you’re involved in a multiple offer situation?
The answer is a lot simpler than you think. With the proper knowledge and a realtor you can rely on, you’ll soon find yourself on the winning side of a multiple offer negotiation.
Want to know how? Then you’ve come to the right place.
What Is a Multiple Offer Situation?
A multiple offer situation occurs when a seller has more than one offer on their house. This may seem like a dream come true for the seller, but they have a difficult decision to make when choosing the perfect buyer for their home.
As a result, you may need to make yourself as attractive of a buyer as possible.
Pre-Approval for Your Mortgage
Not all offers are created equal, and the same holds true for those who have pre-approval letters from their mortgage lenders. But what’s the difference between pre-approval and pre-qualification letters?
Pre-approval letters require more investigating into your financial status and often have more up to date information than pre-qualification letters. Having a pre-approval letter also shows your credit has been run and your financial institutions have been contacted for verification.
Be Ready to Purchase
A motivated seller with multiple offers on their property is going to look for the most attractive buyer possible. If you have a house you need to sell, chances are your home sale contingency is going to prevent you from winning a multiple offer negotiation.
As long as your budget allows it, consider carrying two mortgages should you win in a multiple offer situation. Not only will this make you more appealing to the sellers, but you won’t have to worry about closing on two homes simultaneously. Another alternative is to list and sell your current home before starting your home search. Obviously, this option would only be feasible if you have short term housing available.
Also, a buyer will respond to someone who offers to forego a home inspection. While unforeseen issues within a home can lead to costly expenses for a buyer, the ends must justify the means. If you’re prepared to purchase a home without a home inspection, you can improve your chances of having the winning offer.
Consider the Time of Year
Knowing your seller and their needs plays an important role when winning in a multiple offer situation. For example, your prospective seller may be building a custom home, or have children in school.
Be willing to select a closing date that best accommodates their needs, and you’ll set yourself apart from the competition.
Once you’ve found the home of your dreams, be ready to take the necessary steps towards securing your future house. Be sure to have a pre-approval letter from your lender ahead of time, and do whatever you can to avoid contingencies detracting from your offer.
Don’t let a multiple offer situation cause you to lose the home you’ve been dreaming of. Contact us today, so we can make your visions of homeownership a reality. With over 42 years of experience, winners of the 2018 Companywide Team Award for Weichert Sold Listings, and unparalleled customer service, look no further than The Erins Team for your next home purchase.