Some strategies can improve your odds of scoring a winning bid
Reports from various sources suggest that Rhode Island’s housing market is currently a seller’s market. This means homes are being snatched up quickly and at higher prices than in previous years, which WPRI reports is making it more difficult for young families to buy a starter home. While many people believe that offering the largest amount for a home is the surest way to win a bid, J.Christopher Real Estate Group assures home buyers that there are several aspects to consider that can make offers more appealing.
“When two competitive bids are presented to homeowners, they are more likely to choose the offer from the buyer that appears easier to work with,” said Jarrod C. Lewis, owner of J.Christopher Real Estate.
Lewis explains that buyers can give the impression that they will be more cooperative by making their bids objectively stand out. One way home buyers can improve their odds of their bids being noticed is by having a strong pre-approval letter from a reputable bank or lender. This indicates to the seller that the potential buyer will have the financing locked down when it comes time to finalize the sale, Lewis said.
“A concern many buyers have when accepting a bid is that the deal will fall through at the end,” Lewis said. By diminishing this variable, sellers have some assurance that the sale will be completed.
An alternative solution to get offers noticed is by removing some contingencies of the sale. “Sellers look at offers as a whole, and if an offer is contingent upon stacks of yellow tape, they will likely choose the buyer who is more open-minded about making their own repairs,” Lewis said. That being said, he suggests that buyers outline in their offer that inspections will be performed for major deficiencies only. This will let the seller know that cosmetic and maintenance issues won’t be knit-picked once inspections are completed.
Furthermore, Lewis wants home buyers to understand that the home listing price is just a mechanism to get conversations going. He says home buyers should refrain from making offers that may insult the seller because they may not have an opportunity to rescind their previous offer.
“If you can envision yourself and your family living there for a long time, buyers have the option of disclosing the most they are willing to pay for the home and can sweeten the deal by offering a down payment. This would indicate to the seller that you are serious with moving forward.”
Obviously, there are many tangibles to successfully navigate the current real estate market. Regardless of the state of Rhode Island’s housing market, the agents at J.Christopher Real Estate have the knowledge and expertise to help buyers move into their dream home. Speak with one of our agents at 401-830-6906 to schedule a home tour today.