Friday, August 21, 2020 / by John Salkowski
Here are the two tips to remember to make your offer stand out.
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We’re in a very competitive market for buyers, so here are a couple of tips to remember if you want to make your offer stand out.
First, come in at or above asking price. You may also want to include a price escalation clause. This is especially important in a multiple-offer situation. An escalation clause specifies how high you’re willing to go on price to beat the other buyer(s) while also specifying the price you’re not willing to exceed. I recommend escalating your price to $500 or $1,000 above the next highest offer.
"Your offer always looks better when the contingencies have fewer days attached to them."
Second, shorten your contingencies. There are several contingencies in an offer, but the mortgage and appraisal contingencies are the most important ones to try shortening.
Keep in mind that your home inspection contingency allows you to back out of the deal for whatever reason, and you have 15 days to perform and negotiate any repairs during the home inspection contingency. Therefore, I recommend doing the mortgage and appraisal contingency during that time frame. Your offer always looks better when the contingencies have fewer days attached to them. The longer the contingencies, the weaker your offer.
As always, if you have questions about this or any real estate topic, don’t hesitate to reach out to me. I’d love to speak with you.