Are you a first-time homebuyer and wonder how you can make the best offer in this crazy market? In this video, we’re going to give you our top 5 tips for placing the best offer. We’ll explain everything from finances to humanizing your offer to give you the best chance of getting your dream home.Verify your mortgage eligibility (May 6th, 2021)
Preparing Your Offer
One of the main questions we get—besides how much home you can afford—is what the best way is to make an offer. One of the things that people get up in arms and nervous about is placing an offer, and many people get cold feet. But if you follow these 5 tips, you’ll be in a better position to get your offer accepted.Verify your mortgage eligibility (May 6th, 2021)
Tip #1: Prepare Your Finances
The first step is to make sure all of your finances are in order before we even talk about making an offer. We’re going to assume that you’ve already received your pre-approval and pre-qualification and that you’ve gotten all of your budgeting out of the way.
Tip #2: Self-ReflectionVerify your mortgage eligibility (May 6th, 2021)
The second step is that you need to do some self-reflection. Why do you want to buy a home? Is it to raise kids, have more space, have some safety, or just have more control over your space? Be mindful, write your answers down on a sheet of scratch paper, and reflect on the true reasons that you’re buying a home.
Harvard University did a study that showed the top four reasons why most people buy real estate. None of the reasons are financial. Remembering your motives for buying a home will be important when we’re talking to the listing agent of the home you want to buy. It will help in negotiations, so make sure to take pride in your answers.
Tip #3: Check Your Emotions At The DoorVerify your mortgage eligibility (May 6th, 2021)
This step is hugely overlooked: you need to check your emotions at the door. The reason for this is because you can go into a home, picture how your kid’s room is going to look, and how you’re going to paint. If you do this, you’ll get overly emotional in the process. That’s when you start losing sight of your needs and wants for the home.
When you’re looking at a property, clients sometimes hear their family and friends’ voices telling them that they have to buy a home. That leads to fear of missing out—and we do not want the fear of missing out to cause you to buy a house. Remember, if you don’t buy this house, chances are there’s going to be another house on the market that fits your needs, wants, and budget. So don’t fall in love with the first house you see and don’t get overly emotional.
If you get overly emotional, I won’t know exactly what your needs are. I could have looked at your Buyer’s Triangle with you—an exercise to determine the wants of needs of location, price, and amenities—but your emotions could make those things go out the doorVerify your mortgage eligibility (May 6th, 2021)
Tip #4: Realtor Recon
The fourth step is one of our favorites, as it allows us to act like secret ninja agents. Realtor recon is where we investigate a property, looking at days on the market, if it’s been sold before, and if there have been any updates. Finding out the nitty-gritty details that the public doesn’t see helps us find out the motivation for the seller. It then gives us more leverage in negotiations.
Keep in mind that we’re in a very seller-friendly market. This means there’s a ton of competition out there. If you don’t follow steps 1-3, step 4 will be extremely difficult for us and won’t allow proper preparation for step 5.Verify your mortgage eligibility (May 6th, 2021)
Tip #5: Submitting The Offer
When you submit an offer on a property, the contract is really just numbers on a piece of paper. One of the things that we do to tie all these steps together happens when we place an offer for our clients. Our team gets CC’d with all the data of the contract, including major milestones. This way, we can understand your financial representation and know what’s going to happen in the course of the next few weeks. We want to make sure that we become best friends with you because everybody needs to be on the same page.
One of the things that we do is try to humanize the offer with step two, your self-reflection stage. What I do with all of my buyer clients is send a courtesy video on your behalf to the listing agent. They then show them to their clients, the sellers, telling them how well qualified you are on your financing. It also brings in that humanization technique of why you’re really buying a home. We find that most homebuyers want to know that the people buying their house are going to take care of it.Verify your mortgage eligibility (May 6th, 2021)
Keep in mind that it doesn’t work 100% of the time. However, we’ve been doing this for going on eight years now and this tactic really helps. It also makes all of the parties feel comfortable, especially with the 30 to 45 days of the contract. It also gives us the upper hand because we know what your bottom line is.
Getting Your Offer Accepted
We hope this helped you understand the 5 tips that will help get your offer accepted. Make sure to also subscribe to the channel so you never miss an episode. If you’re looking to get pre-approved or want to go look at properties, make sure to reach out and we’ll be happy to connect with you.Show me today's rates (May 6th, 2021)