How to make an offer

How can I make a strong offer on my dream home?

Making an offer on a home can be confusing, stressful and downright terrifying. However, with a knowledgeable real estate agent at your side, it is possible to make a strong offer that fits your budget.

Although you may be tempted to make a low-ball offer, it’s important to be realistic. Do some research, and work with your real estate agent to come up with a reasonable figure. Take a look at recent sale prices of other homes in the area. If local homes are selling very slowly and sitting on the market for months at a time, you should be able to offer less than the listed price. On the other hand, if homes are selling like hotcakes in the neighborhood, you’ll want to make a competitive offer to increase the likelihood that you’ll get the home. In this kind of scenario, you may even find yourself in a bidding war with other potential buyers.

If you’ve been pre-approved for home loan, include that information in the financing terms of your house offer. That way, the seller knows that you are a serious buyer who has the funds to back up a house purchase. This gives you a leg up on other potential buyers who have not have been pre- approved.

You should also include a property inspection clause in your home offer. Let’s say your offer is accepted, but upon inspection you find out that the house is infested with termites or the roof needs major repairs. Who will pay the thousands of dollars for repairs? With this clause in the contract, you will be able to reopen negotiations with the seller if you learn that the house needs work after inspection.

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