Ways to Get Your Offer Accepted
Brady Nelson, a Realtor with eXp Realty shares some best practices for helping to get your buyer’s offer accepted even when they are competing with multiple offers. Most agents think that if your buyer offers a price, you will get your offer accepted easily in a multiple offer situation. That may not always be the case. It’s all about the terms.
Brady shares that he and his partner were working with a buyer and lost two properties that had multiple offers. Finally, on the third property, they talked to the listing agent. Then, they got a handle on what the seller’s needs were. They tailored the offer with terms that catered to that seller’s needs and their buyer got the property. The seller had other offers for more money than their buyer offered. But they hit on a term that was more important than price. In this case, the buyer was able to accommodate the seller’s desire to close quickly. In addition, the Seller appreciated the buyer was using a VA Loan, as they were veteran themselves.
Build Rapport with the Listing Agent
The No. 1 recommendation Nelson shares is to build rapport with the listing agent. Show your positivity and explain how excited your buyer is about seeing the property. This starts even before your buyer makes an offer. Make sure to show up on time and talk to them about the property.
Know the Seller’s Motivations
Great! Now that you have a harmonious relationship with the listing agent and your buyer has seen the house, on to the next step. Talk to the listing agent about the seller’s motivations. What are their goals? It’s not always about money. It could be that they need to get out quickly to relocate or they want a buyer who can pay cash. That will help your buyer frame their offer.
Make a Connection Between Buyer and the Seller
Brady recommends that you try to make a connection between the buyer and seller, adhering to Fair Housing laws, of course. For example, if your buyer is touring a house and you see a photo of a family member in a military and the buyer is also from a military family, I might say to the listing agent, “Hey, this offer is from a family in the Air Force too. I noticed that the sellers served in the Air Force, as well.”
Buying and selling a house is an emotional transaction. By finding points of connection that stay within the Fair Housing guidelines, it makes it more personal.
Get Your Offer Be Noticed
There are several terms Brady Nelson found that help get sellers to notice and accept the buyer’s offer. If the sellers are motivated to accept the highest offer, an escalation clause can be added. It can state that the buyer will go a certain amount above the highest offer made.
In addition, Nelson suggests for the buyer to make a higher initial escrow payment or offer to put down an additional amount after the inspection period. For example, they may put 20% down with the offer. Then promise another $5,000 down once the inspection is completed. He would photocopy the deposit check and include it with the offer. They inform the listing agent and seller that they have the check in hand ready to drop off to the title company as soon as the contract is executed.
On the other hand, to give the seller confidence in the buyer, Nelson shares that they should have a strong mortgage approval. The additional escrow deposit plus the strong mortgage pre-approval will show how serious your buyer is about getting the home. Nelson would even call a home inspector and tentatively schedule the home inspection before sending in the offer. Afterwards, he would include a documentation that the home inspection was already scheduled. This proves that the buyer wants the deal to close as flawlessly and quickly. Shortening that inspection period is a great good faith incentive for the seller. Moreover, if you can offer a 7-day home inspection, the seller only risks taking the property off the market for one week rather than the 15-day standard.
Pick up the Phone and Call Them
Lastly, when you’re ready to present the offer to the listing agent, pick up the phone and call them. Brady Nelson observed that when they are on the other side where an agent emails them an offer and never follows up. Then, a day later, the agent asked if they saw their offer. Real estate professionals are swamped with daily emails. When you send an offer, confirm that it was sent by texting or calling the listing agent.
Nelson shares that he won the property for the buyer several times by using these techniques. He declared that it’s not always about the money. The sellers may be willing to take less for their home if they know the transaction will go smoothly.
Relationships and connections are important to real estate professionals. By making creating connections and demonstrating that you are a trusted professional, you’ll win more multiple offer situations. The transaction starts between two Realtors.