Today, I thought I would address some of the most common questions that Big Bear Real Estate buyers are asking when writing an offer. The Big Bear Real Estate buyers are all looking for the best deal out there. If they find it, they'll buy the property, if they don't find the deal then they keep looking.
Once we've found the house that the buyer wants to buy, the first question out of his mouth has to do with price.
Let's say that the buyer has found a home he likes and it is priced at $399,000.00. The buyer will ask me If I think he can get it for $300,000. The answer to that question is NO. Let me explain why. In The Big Bear Real Estate market homes that are priced properly to begin with are selling at about 5% to 7% off of the asking price. Homes that are overpriced, just sit on the market and don't normally see a offer! The Big Bear Real Estate market is not at the point where you can buy a house that is listed for$400,000.00 and get it for $300,000.00
Once we have looked at all of the information available and the buyer has made a decision on the price he plans to offer, we start talking about what are we going to do to make this the strongest offer possible. That is the time that we start discussing the good faith deposit, down payment, escrow time period, contingency time frames, and who is going to pay for what inspections and reports.
In the Big Bear Real Estate market, there is more to the offer than just price. The buyer could present an offer that is 15% off of the asking price and it could still be considered a very strong offer. What would make it a strong offer? To start with, bring your check book with you to Big Bear and be prepared to write a check for 3% to cover the good faith deposit. The next thing you would want to do to show the seller that you are a serious buyer is to come to the table with a pre-approval letter from the bank. You notice I didn't say pre qualified. Pre qualified only means that you have spoken to a lender, where as a pre approval letter shows that you are qualified and ready to move forward. Make sure that you have a strong down payment that coincides with your pre approval letter.
While some sellers want a long escrow, most do not. If your lender says he or she can have the loan done quickly, then the shorter the escrow time frame, the better. If you want to add some more strength to your offer on Big Bear property, then you can shorten your time frame for the contingency removals, or offer to pay for your own home warranty.
Now, when the seller takes a look at this low offer on his Big Bear property, he may not consider it such a terrible offer once he sees how serious a buyer you are.
Great article Tony!!! I wish you the best in 08!!
Posted by: lisa Masterson/Old Republic Home Protection | February 19, 2008 at 06:22 PM
Some really cool stuff here, dude. Congrats on a great article.
Posted by: best home loan | January 29, 2009 at 07:43 PM