March 9, 2012 by Johnny Brooks | Edit
Your family has viewed a number of homes and found one as close to perfect as possible and absolutely adore everything about this property. You inform the realtor of your intentions to mull things over and your plans of making a decision soon. The next morning you awake with nervous energy and inform the agent to write an offer. Unfortunately after contacting the listing agent, there are three other offers on the table. Congratulations, you have great taste in homes, three other families have confirmed this. What should a buyer do under these conditions? This is a predicament many buyers are now finding themselves. In this scenario, buyers have a number of options at their disposal. The decision a buyer makes depends on their motivation and desire of owning that particular home.This is an uncomfortable position for any buyer, knowing absolutely nothing about the other proposals.
The limited number of homes on the market has created a flurry of buying activity and made many prospects skeptical of what the media pundits are proclaiming, that we are in the thralls of a buyers market and a declining housing market. Go tell that to consumers that are competing with other buyers for properties. With multiple offers only the strong survive. Buyers have to make an expeditious decision. Sellers are in command and will normally make no concessions under these circumstances. Your real estate agent can offer his expert advice on how to maximize your opportunity by making a sound, seller friendly proposal.
The mystery with the multiple offers are that they can happen within days of a property coming on the market or months later, after the owner has made needed price adjustments. As a prospective buyer, you have to assume worse case, these offers are all full price or above. There’s no other interpretations that a buyer can make, if the goal is to acquire that home. Is this property at fair market value? Will bidding at a higher price, decrease the chances this property will actually appraise? Will the higher offer affect your loan qualifications of buying this home? These are just a few questions that have to be answered before making that splashy offer. Each buyer has to look out for their own financial well-being and realize there are limits on how far they can comfortably bid. Only one offer gets accepted. The best mind-set to have in these conditions, if it was meant to be, it will be. This is not the last home you’ll fall in love, so patience might be the best solution. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs and easy access to view local area homes for sale in Davis, California and the surrounding communities.