How to Get Your Offer Accepted in a Competitive Market

The market has been at the top of its game and that simply means that there are offers going for homes left and right. With all the bidding wars happening, how are you going to get your offer accepted when you potentially could be outbid? We have listed a few ways below as an update to an earlier blog post:

First and Foremost: Get a Preapproval Letter

The most important thing you can do before looking and even bidding on a home (which many Realtors won't even acknowledge your offers without a preapproval letter nowadays) is to get a preapproval letter first. This accomplishes two things, the first is the amount of money and buying capacity you have when you are looking for a home and the second is the certainty that you bring to a seller and their realtors that you are able to afford the home that you are looking to purchase. Think of the preapproval letter as a way of bypassing speculation and giving all parties involved confidence in moving forward with a deal. Locating a realtor and searching for a home first is not the normal thing to do anymore, figuring out the financing first puts you in prime position to make the offer and get started on the contracts.

What You Get With an Arrowhead Capital Preapproval

With Arrowhead Capital's proven track record of helping families become homeowners for over 35 years, our preapproval letters give you:

• A proven pedigree of helping families purchase their homes with a great reputation and track record in the Inland Empire and Denver, CO areas.
• We give accurate and responsible purchasing limits for our clients.
• No automation here, you work with an actual team that works for you up to and until you get your set of house keys.
• We understand the local market and so does our team, we are here to answer any questions you have.
• We communicate clearly and quickly for you to move fast on your offers.
• We also close on time and sometimes early if the market is just right!

Next Steps: Work with a Local Realtor

It is proven that local Realtors that we work with are the backbone of what we get to do for you. We work in tandem with our respective industries to make sure everything in the home buying process is smooth and quick without any speed bumps or mistakes. If you happen to work with a Realtor that knows your area specifically and knows it well, you have a game changing opportunity to find the home of your dreams in areas you may not have even thought to look. They can help you take a look at the surrounding areas and give you the best options for putting forward a solid and competitive offer for sellers to work with.

If you need access to a realtor, or are looking to start working with one, we can get you set up and connected right away!

Be Competitive: Offer a Higher Earnest Money Deposit or Make it Non-Refundable

Simply put, the higher the earnest money amount, the more likely the seller is willing to take a look at your offer. Earnest money is the upfront cash you offer and is applied to the down payment at closing time. If you make this deposit non-refundable and the seller gets to keep the deposit, this will give the seller more confidence moving forward with your offer!

Keep Going: Waive Inspections if you Can

If you waive a home inspection, it makes the process to close on a home faster and more enticing for the seller to complete the transaction. The catch is that if you waive the inspection, you are accepting the home "as-is" which absolves the seller of incurring any repairs that might need to be made. Some clients in competitive situations bring inspectors to the showing but as it is, this is a very aggressive strategy if you are looking to close on a home in a market like the one we are looking at currently.

Offer Types: Contingent vs. Non-Contingent

Contingent offers are offers that are dependent on another step being done, such as the sale of a previous property. Sellers like non-contingent offers because its as simple as they come and do not depend on another party to be involved.

Give Em Some Time

If you really want to keep you offer competitive, give the sellers some extra time within their home to pack up and make sure they have everything at a comfortable pace. This takes the moving stress off the sellers and gives you time to start packing for your new home!

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In the end, make sure you give the very best offer every single time. The opportunities within a housing transaction are abundant and here at Arrowhead Capital, we like to make sure that you are positioned and prepared to be ahead of the rest in closing on a home you can't pass up. We want to see you become a homeowner and we will do what it takes to get it done for you!

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Down payment requirements, closing costs, and loan amounts are for illustrative purposes only; subject to credit qualification, not all applicants may qualify. Not a commitment to lend. Not affiliated with or endorsed by any government institution. Please contact us for an exact quote and for more information on fees and terms. Equal Housing Lender.

Arrowhead Capital Mortgage  NMLS 267884   For licensing information, go to www.nmlsconsumeraccess.org

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