The real estate market today is super competitive and making a real estate offer that sellers accept at first glance is not as easy.
If you are in the business of flipping houses, then you probably know by now that the best deals go very quickly. The only way you will be able to succeed in this business is by making a real estate offer that stands out from the crowd. The goal is to make an offer that will make a seller jump at it without hesitation.
For starters, each house has a story behind it and a reason why itâ€™s on sale. Every seller is different so you cannot use a blanket approach. Cater your offers to suit specific situations. The more information you can collect about a dealer, the better. To make things a little easier for you, here are five ways that you can make a real estate offer that sticks. Remember that not all these five points will apply to your particular situation so itâ€™s up to you to do some digging around and find what suits you.
How To Make A Real Estate Offer That Sticks
1. Make An Offer That Is Higher Than The Asking Price
You do not have to go too high orÂ break the 70% rule. A great strategy would be to wait for the asking price to go down and then make an offer that is slightly higher. You can even go as high as 20% provided you stick to the 70% rule and you do not do any eraser math to make the numbers work for you.
2. Put In Some Skin In The Game
If you can, put in your own cash. This way, the bank will not view you as subject to financing. Moreover, cash offers are very attractive to banks.
3. Wave Inspections
Unless there is no one else putting an offer on a specific property, itâ€™s a good idea to wave inspections. It can be scary but with a little help from your broker, you can determine if a particular property has people putting offers on it or not.
4. Promise To Close In 14 Days Or Less
Banks are not able to close in two weeks or less but when they see that you are willing and able to do so in a short period of time, your offer will stand out from the rest. Of course, you should only promise what you can deliver.
5. Know Who The Seller Is
Try as much as possible to understand who the seller is as well as their situation. Remember that it may not be possible or even practical to use the same approach with every seller so you need to structure your offer in a way that will appeal to each particular seller.
These five secrets are just a few examples of how you can make exciting offers to potential sellers. When starting out you may not strike very good deals but this should not discourage you. Ensure you stick to your maximum allowed offer and donâ€™t make decisions out of emotion.
What are some of the tips you think can be used to make a real estate offer that sticks? Share your thoughts by leaving a comment below.
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