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Nina offers sound advice though I personally do not like rent backs.
In my last sale, we had 3 final offers. We accepted the one with the least strings and the one we felt was the more urgent buyer. Urgent in that they were being company transferred in and needed a place. They also were not the highest offer. The highest offer wanted closing cost help which said to me they do not have much money and financing could be an issue. The 3rd was the lowest offer and from a couple that had been looking for over a year. They were wanting to low ball and could afford to wait.
Let the buyer know you are financially secure, you do not need their financial help, you can close fast, you will not make an issue over small inspection items.
The goal is to reassure the seller that you will actually close on the house and there won't be any surprises in the price, cost of repairs, or your ability to get a loan. And barring that, keep the time off the market as short as possible.
No or limited appraisal "contingency". You get an appraisal and pay the difference if it comes in low. Can be written something like "Buyer to pay up to $10,000 over appraised value but not to exceed contract price" to limit the extra cash outlay.
Shortened inspection contingency period or whatever it's called in your area. Our contract has a standard 17 days, make it 7.
A clause something like "Buyer to purchase house As Is, with inspection subject to items that make the home uninhabitable or major defects over $1000". This lets the seller know you won't try to nickel and dime them on minor repairs.
Get your lender to call the listing agent pronto to discuss what a strong borrower you are and that they are confident they can close the loan on time.
Before writing the offer, get your agent to call the listing agent and ask what terms are important to the seller. Do they want a quick close? Do they want a rent back (make it free and they will love you)? Are there any items they want to exclude? Then write those into the offer so the seller doesn't have to counter with their preferred terms. Time spent in counter offers is time another, better offer can come in and push you out.
Excellent advice I wish I saw this earlier! We are bidding on a house which offended the sellers. I don't think my realtor quite understood I WANT THIS HOUSE! Her recommendation was so under what I was going to start at. I figured she knew the market better.
Next we can't close until 90 days, she said do the rent back for a month. I questioned this too. I need to go with my gut if this ever happens in the future. She didn't ask any of those important questions. We are ready to flexible where possible, ease the sellers mind, and make everyone happy!
No or limited appraisal "contingency". You get an appraisal and pay the difference if it comes in low. Can be written something like "Buyer to pay up to $10,000 over appraised value but not to exceed contract price" to limit the extra cash outlay..
$1 falls within said "upto 10k" so while you've agreed upon a contract price you have simultaneously set up to sell at appraised value. If a loan is involved, lender won't lend for a property above appraised value anyway, even if it is one dollar above.
I understand the jist of what you are saying about limiting the appraisal condition if its a cash deal, but caution anyone with how its written because quagmires and conflicts can occur very easily.
This does specifically mean the buyer will pay the extra in cash if the appraisal is below sales price because the lender will loan on the % of appraised value. In a hot market with multiple offers, the seller will require this. If the offer is $525K and the appraisal is $520K, the sales price is $525K and the buyer is contributing an extra $5K in cash towards the purchase. And BTW, the seller wants to see proof of funds to close.
Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
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Make the offer with automatic increases up to a maximum. For example, listed price is $600,000, offer $605 but with a clause that will go $2,000 over any higher offers up to a maximum of $650,000.
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