After searching for the perfect house to call your new home you’ve finally found the one! The price is right but with the current inventory shortage you want to be sure you make the best offer to enhance your chances of making a deal.
Here are four tips From Fannie Mae to help you make the best offer.
1. Understand your finances and know what your buying power is.
This step or tip actually should be made even before beginning any house hunting adventures. Getting pre-approved before stating your search helps you in a number of ways. First of all it lets you know what your buying power is and gives you an ideal of what sort of cash you will need to get into a new home as well as an estimate of your monthly payments. Equally important; submitting your pre-approval with any offer will make a seller more confident of accepting or making a reasonable counter offer back to you. They know you have the financial capability to buy their house and now all you have to do is agree on a price.
2. Act Fast!
As the Portsmouth absorption rate chart at left clearly shows, we’re in a strong seller’s market with low inventory. Buyer demand has continued to outpace the supply of homes for sale, causing buyers to compete with each other for their dream homes. Multiple offers are very common with many being over the asking price.
Make sure that as soon as you decide that you want to make an offer, you work with your agent to present it as soon as possible.
3. Make a solid offer.
Today’s Portsmouth NH real market is not the place for ‘lowball’ offers, weird contingencies, and any other fancy stuff you might have seen on late night TV.
Make your strongest offer right out ot the gate. It should be comparable with recent sales and listings in that neighborhood or area. Working with experienced Realtors who know the market and the area will help you put in a solid offer based on their experience and other important considerations such as recent sales, condition of the house, and what you might qualify for.
4. Be prepared to negotiate.
Fannie Mae says: “It’s likely that you’ll get at least one counteroffer from the sellers so be prepared. The two things most likely to be negotiated are the selling price and closing date. Given that, you’ll be glad you did your homework first to understand how much you can afford.
Your agent will also be key in the negotiation process, giving you guidance on the counteroffer and making sure that the agreed-to contract terms are met.”
We advise all of our clients always get an independent home inspection, so you know the true condition of the home. If the inspector uncovers undisclosed problems or issues, you can discuss any repairs that may need to be made with the seller, or cancel the contract.
Whether you’re buying your first home or your fifth, having a local professional on your side who is an expert in their market is your best bet in making sure the process goes smoothly. Ann and I have many years of successful experience representing literally thousands of buyers just like you. Give us a call and let’s talk about how we can help put you in your new home soon. Ann Cummings and Jim Lee, call or text, 603-436-1221
Click here to see and hear some testimonials from clients we’ve helped and advised.
Happy House Hunting!