Multiple offer situation: What do you do when the home you like has multiple offers?

In a seller’s market you need to have the competitive edge. You and your REALTOR® need to strategize and present your best and highest terms possible. You may only have one chance for the seller to consider your offer.

Analyze the recent sales of the homes that have sold in the area. Is this home priced low? Is your agent confident the home would appraise at a higher price if you offer above asking? You may ask yourself, “Am I prepared to bring in additional funds to purchase the home if it doesn’t appraise?” If you are, you may want to include this in your offer.

Are you asking for seller paid closing cost assistance? Your closing costs will include all the fees that will be paid in order for you to close on your home. These fees may include lender fees, appraisal, title and escrow fees and any prepaids such as property taxes, sewer and trash.

If you don’t need to ask for assistance, it will make your offer more appealing to the seller. However, if you are in need of assistance to pay your closing fees you may want to speak with you mortgage lender and ask about possible lender credits.

Have your REALTOR® contact the listing agent. Find out how many offers you are competing with and as much information possible about the home. Some questions they may want to ask are: Do they have any cash offers? Are the offers lower than the asking price? Will the seller present a best and highest counter offer or are they reviewing the offers at set date and time. These questions will help determine what your best strategy will be when placing the offer. An experience and skilled REALTOR® will know what questions to ask on your behalf.

Constant communication between your REALTOR® and mortgage lender will be key in making your experience much smoother with no surprises once your offer is accepted.

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