It’s one of the hardest tasks when buying property – beating the competition and working out how to make the winning offer on a home, whether by private treaty or pre-auction. So what tips are there to get your offer accepted on a new property?
Are there any well-tried strategies you can adopt to place you at the front of the queue? Well, I’m glad you asked because here are our 5 tips for getting your offer accepted and having the winning offer to get the property!
1. Be ready to act
It’s vital to have your finance lined up and ready to go in order to demonstrate your capacity to pay the deposit and complete the sale. Sometimes going as far as having your finances approved is necessary. Before you have found your dream home make contact with a conveyancer or solicitor and let them know of your intent to buy and their fees. Do the same with a building inspector.
The two biggest hold-ups to securing a home are finance and strata or building inspections.
A buyer who can waive the cooling-off or act immediately with an “unconditional” contract is music to an owner’s ears.
2. Pre-auction offers
Buyers also have to come to terms with the fact that making a pre-auction offer at the same spot where most of the interest lies is unlikely to secure you the deal. For an owner to take an offer prior to auction the package should be attractive.
Speak to the agent about what price, if any, may be needed and also what terms may make the owner excited about the deal.
3. Flexibility of timing
You should also have a clear idea of your settlement terms in advance, and what you’re prepared to offer a vendor.
If you need certain terms ie a longer settlement period or shorter this may impact the offer. Try to be as flexible as possible to make your offer attractive. An owner may take a lower offer if the terms or timing suits their needs more.
4. Low offers
If your offer is considerably lower than the asking price however you feel it’s an offer that is fair in the market think about writing a letter explaining why you made the offer. In that, you can mention the other properties you have inspected, the price points they sold for, how this property may vary, and justify the offer they’re making. This sometimes helps the owner understand why the offer was made not just that you are “lowballing” them. It can’t hurt to let them know just how much you love their home.
5. Put it on a contract
Finally having your offer on an executable contract goes a long way. That means a contract that the owner can sign and the deal is done.
It is not unheard of an owner deciding on a lower offer as the buyers could act quicker. Don’t underestimate the power of the written offer.
In all cases speak to the agent representing the property. Understand what the needs are of the vendor and try to be as accommodating as possible. These few pointers may put you in a position to own your next home.
So now that we’ve covered the 5 tips on how to get your offer accepted on a property make sure you keep them in mind when finding a property you want to purchase. If in doubt, always contact the listing agent for guidance.