In a nutshell:
If you really want a property and think there will be multiple offers, figure out how much you're willing to pay, and go in strong. No surprise, but the highest and best offer almost always wins.
What else can I do besides offer more money?
- Shorten your escrow timeline: This shows the seller that your priority is to get them their money. This is particularly appealing to sellers who are already in contract to buy another home.
- Waive inspections if you've already received a report: Since inspections take time and often create negotiations over the price, if the seller's provided disclosures or you have the opportunity to do an inspection during a private showing, this will speed up the process.
- All cash or no loan contingency: All cash offers (no mortgage) are very enticing because there is no chance of running into complications with the lender and the deal falling through.
- Write an offer letter: Sometimes writing an offer letter to the seller letting them know why this is the home for you can sway their opinions, especially if the seller has received multiple offers.
- Waive your appraisal contingency: To keep your offer attractive, agents recommend waiving the appraisal contingency by agreeing to pay (in cash) the difference between the contract price and the appraisal value, and even waiving the financial contingency if you’re certain your financing is solid.
Looking to avoid multiple offer situations? Check out our tips for a competitive housing market.